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1985-1999

Gasification economy

During the mid-1980s the effect of the recent energy crisis was still being felt. Great Plains Gasification Associates (GPGA), of which American Natural Gas (ANG) was the majority partner, was a group of five interstate pipeline companies that built the Great Plains Synfuels Plant (Synfuels Plant), a coal gasification complex near Beulah, ND.

ANG went bankrupt in 1985 and turned the plant over to the Department of Energy (DOE). Employing 700 workers, the Synfuels Plant is one of only two gasification plants in the world (the other one is in South Africa). The plant purchased its power directly from Basin Electric's Antelope Valley Station (AVS).

Basin Electric's members discussed what would happen if the plant shut down permanently: the employees would lose their jobs and Basin Electric would lose millions of dollars a year in lost revenue from electric sales, including shared resources of coal and water related to AVS, a $37 million annual impact.

Robert L. McPhail

CEO & General Manager
1985-2000

When Basin’s first general manager, Jim Grahl, retired in 1985, Robert L. "Bob" McPhail from Western Area Power Administration (WAPA, now called Western) was hired to lead the organization.

McPhail led Basin Electric as it transitioned from the construction to operations when surplus power and rate hikes led to diversified services.

Dakota Gasification Company was acquired by Basin Electric during his tenure.

Dakota Gasification Company

After much discussion among the membership, a special session, and negotiation with the Department of Energy, Basin Electric acquired the gasification company in 1988 and named it Dakota Gasification Company (Dakota Gas) on November 1, 1988. With the purchase, Basin Electric was able to keep the synergistic relationship with Antelope Valley Station, retain electric sales, employ 600 gasification employees and diversify into natural gas and a variety of byproducts – from fertilizer to industrial chemicals.

Evolution of Services

Diversification of services occurred during this period to improve operations, manage Basin Electric’s assets and provide services to the membership. They include:

Basin Cooperative Services, a subsidiary that acquires resources and services for electric plant generation.
Basin Telecommunications Services (BTI), Inc., a retail dial-up and wireless internet service that provides telecommunications infrastructure for all of Basin Electric and subsidiaries, including members that choose to use its services.
Dakota Coal Company, a shell company to house mining assets and market lignite coal from Coteau Properties' Freedom Mine.
Montana Limestone Company, a subsidiary of Dakota Coal Company that mines limestone from a quarry near Warren, MT.
PrairieWinds ND 1 Inc., a proposed wind project near Minot, ND.
PrairieWinds SD 1 Inc., a proposed wind project in South Dakota.
Souris Valley Pipeline Ltd., a subsidiary of Dakota Gasification Company that delivers CO2 to Canadian oil fields for enhanced oil recovery.
Wyoming Lime Producers, a division of Dakota Coal Company, that produces quality lime for power plants.

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Bone-chilling

Construction workers endured unusual weather while erecting Great Plains Synfuels Plant buildings:

"Last winter was one North Dakotans will be telling their grandchildren about, maybe their great-grandchildren. Several weather records fell, but what everybody remembers is that the wind chill factor hit 109 degrees below zero. Fifty below was common, hardly worth mentioning. Yet the Great Plains job went on..."

~ ANR's VENTURE magazine, 1982

See for yourself

Tourists get a overview of the Synfuels Plant via a model of the plant. See the plant by booking a tour.