Dakota Gasification Company, Musket enter DEF supply agreement

Dakota Gasification Company (Dakota Gas), a subsidiary of Basin Electric, has entered into a long-term diesel exhaust fluid (DEF) supply agreement with Musket Corporation, strengthening a partnership that spans nearly a decade.

Under the agreement, which took effect Feb. 1, 2026, and runs through Dec. 31, 2028, Musket Corporation will serve as the sole customer for DEF produced at Dakota Gas’s Beulah, North Dakota, facility. Musket Corporation is a significant user and distributor of DEF and is an affiliate of Love’s Travel Stops.

“Dakota Gas has been supplying Musket Corporation with DEF across North America for approximately eight years,” Zach Jacobson, director of Dakota Gas sales and marketing, said. “This fall, we began discussions on an agreement that makes Musket Corporation the sole customer for DEF. As part of the partnership, two of our sales employees transferred to Musket Corporation and will now sell on their behalf."

The agreement provides greater stability and predictability for both organizations. For Musket Corporation, it ensures a secure and reliable DEF supply. For Dakota Gas, it establishes consistent demand and a stable shipment outlook over the nearly three-year term. “This is a strong opportunity for both companies and creates meaningful synergies for Dakota Gas,” Jacobson said. “It also allows us to leverage Musket’s extensive infrastructure network and positions both companies to collaborate on additional market opportunities as they arise."

The partnership also opens the door to future growth opportunities. With consistent monthly volume commitments, Dakota Gas can operate at more ratable production levels, improving operational efficiency. “Musket Corporation is a creative and commercially reasonable partner, and that flexibility supports innovation throughout the term of the agreement,” Jacobson said.

The agreement underscores Dakota Gas’s continued focus on maximizing the value of its products while building strategic partnerships that enhance reliability and long-term stability.