An MDU Resources Group Inc. subsidiary has started construction on nearly 100 miles of new natural gas pipeline and other infrastructure that would boost takeaway capacity from the Bakken Shale in northwestern North Dakota.

FERC on July 8 gave the all-clear for WBI Energy Inc. to begin work on the 250 MMcf/d North Bakken Expansion project. The expansion would bring the company’s total pipeline system capacity to more than 2.4 Bcf/d. The project includes about 63 miles of 24-inch diameter natural gas pipeline and 30 miles of 12-inch diameter natural gas pipeline, as well as a new compressor station and additional associated infrastructure.

The Federal Energy Regulatory Commission approved the pipeline expansion in June.

WBI, which transports more than half of the natural gas...