ONEOK (OKE) will lose ~18 Mb/d of NGLs in the Bakken to Kinder Morgan (KMI) when a shipping contract rolls off later this year, executives disclosed on OKE’s 4Q25 earnings call. We expect KMI to move those barrels on Double H Pipeline, which the company is converting from crude oil to NGL service.
ONEOK’s Bakken system consists of the Bakken and Elk Creek pipelines. East Daley Analytics believes OKE will prioritize volumes on Elk Creek given its higher profitability, and therefore will see reduced throughput on the Bakken line.
The disclosure confirms risk to OKE highlighted by East Daley when Kinder Morgan announced the Double H conversion in 2024. OKE executives did not reveal if KMI or a third party is the counterparty behind the retiring contract.
Double H runs from Dore, ND to the Guernsey market in Wyoming. KMI stopped flowing crude oil on Double H in October ‘25, according to EDA’s Bakken–Guernsey–DJ Crude Oil report. The company expects to start NGL service in late 1Q or early 2Q26, executives said on KMI’s 4Q26 earnings call. We expect KMI to ramp the 18 Mb/d onto Double H shortly after startup.
Despite the lost barrels, OKE still expects NGL volumes to grow on its pipelines from the Bakken, where rising oil-to-gas ratios are supporting natural gas and NGL production. ONEOK expanded the Elk Creek line at the start of 2025 and has ramped throughput from a combination of pipeline diversions and increased output from its Bakken processing plants. – Sam Chen Tickers: KMI, OKE.
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