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Dakota Download Governor Burgum's Weekly Update - October 9, 2022

Burgum leads trade and investment mission to Japan, promotes ND opportunities in meeting with JETRO

Gov. Doug Burgum led a delegation of North Dakota officials and business representatives on a weeklong trade and investment mission to Japan last week, highlighting the state’s many trade, investment and business opportunities in a presentation to the Japan External Trade Organization (JETRO) and promoting the state during a reception with Japanese businesses at the U.S. Ambassador’s residence in Tokyo.

In addition to Burgum, the 35-member trade delegation included state Agriculture Commissioner Doug Goehring, leadership and staff from the North Dakota Trade Office, North Dakota Department of Commerce, Governor’s Office, Bank of North Dakota, North Dakota State University and the University of North Dakota, and representatives from about a dozen North Dakota companies involved in agriculture, energy, manufacturing, technology and aerospace.

“Japan is an important trade partner for North Dakota and a key strategic ally for our nation. This trade and investment mission aims to strengthen that relationship and support our citizens by identifying new markets for North Dakota products and attracting investment and jobs to our state in a variety of sectors including agriculture, energy and technology,” Burgum said. “We are grateful to our Japanese hosts for the opportunity to share all that our state has to offer and work toward agreements that benefit all of our citizens.”

While Japan covers an area roughly the size of North Dakota and South Dakota combined, its population of 125 million people is 75 times larger than the total population of the two states. North Dakota’s exports to Japan totaled $40.1 million in 2021, making it one of the state’s Top 10 export markets. Japan was the fourth-largest U.S. export market in 2021 and the largest source of foreign direct investment in the U.S. in 2020, investing $679 billion and supporting over 973,800 jobs.

“Japan has been a longtime customer of several of our commodities, including high-quality spring wheat and food grade soybeans,” Goehring said. “We value the relationships we have built in Japan and look forward to future trade opportunities in this important market.”

U.S. Ambassador to Japan Rahm Emanuel hosted the North Dakota delegation at the ambassador’s official residence in Tokyo for a reception with State Department officials and Japanese business representatives, providing more opportunities for networking and discussion about potential trade and investment opportunities with North Dakota and the United States.

The Burgum-Sanford administration has long worked to strengthen trade between North Dakota and Japan, including in July 2018 when Burgum met with industry leaders and high-ranking government officials from the U.S. and Japan at the Midwest U.S.-Japan Association’s 50th annual conference in Omaha, Neb., to promote trade and cooperation.

In August 2021, Burgum and Sanford, who chairs the North Dakota Trade Office Board of Directors, met with JETRO members visiting Bismarck to discuss opportunities and partnership for investment in North Dakota’s economy. Originally established in 1958, JETRO is a government-related organization that works to promote mutual trade and investment between Japan and the rest of the world.

Gov. Burgum and First Lady Kathryn Burgum pose for a photo with Japanese officials during a North Dakota Investment Seminar hosted by the Japan External Trade Organization (JETRO) on Monday, Oct. 3, 2022, in Tokyo. Pictured with the governor and first lady are (from left) JETRO Chief Executive Director Hiroyuki Nemoto, JETRO Executive Vice President Ichiro Sone, JETRO Chairman and CEO Nobuhiko Sasaki, and Taichi Yamakawa, Senior Director and Head of Planning and Strategy Unit, Energy Innovation Initiative Americas, Sumitomo Corp. of Americas.
Gov. Burgum presents to JETRO on Monday, Oct. 3.
The governor and first lady were among the guests of U.S. Ambassador to Japan Rahm Emanuel (center) as he hosted the North Dakota trade delegation for a reception on Monday, Oct. 3, 2022, at the U.S. Ambassador’s Official Residence in Tokyo. BACKGROUND PHOTO: North Dakota business and state agency leaders discuss opportunities with Japanese business representatives during a networking session hosted by JETRO.

Burgum, Sumitomo CEO celebrate signing of MOU to develop clean energy projects

Gov. Burgum and Sumitomo Corp. President and CEO Masayuki Hyodo hold the recently signed memorandum of understanding between the State of North Dakota and Sumitomo Corporation of Americas on Friday, Oct. 7, at Sumitomo's headquarters in Tokyo.

Gov. Burgum and Sumitomo Corp. President and CEO Masayuki Hyodo on Friday celebrated the recent signing of a memorandum of understanding (MOU) between the State of North Dakota and Sumitomo Corporation of Americas (SCOA), creating a partnership to evaluate and develop businesses within the energy transition market with the intent to accelerate decarbonization in North Dakota and beyond.

On the final day of a weeklong trade and investment mission to Japan, Burgum and fellow members of the North Dakota delegation met with Hyodo and other Sumitomo leaders at the global firm’s headquarters in Tokyo. Also represented was New York City-based SCOA, which has eight offices in major U.S. cities and is the largest subsidiary of Sumitomo Corp.

As he did when he first signed the MOU in September, Burgum noted that North Dakota is a powerhouse in agriculture and energy, with strong sectors in advanced manufacturing and technology as well, all supported by a stable tax and regulatory environment that makes the state ideal for developing new businesses.

“We’re committed to partnering with the private sector to grow and diversify our economy, and SCOA is well-positioned to help North Dakota create the infrastructure necessary to support clean energy initiatives,” Burgum said when the MOU was signed. “This partnership has great potential to enhance our research and development, evaluation and business modeling in this sector, and to accelerate our progress as we continue to develop clean energy sources and move toward carbon neutrality by 2030.”

Under the MOU, both parties will study a wide variety of possibilities including Sustainable Aviation Fuel supply chain development, CCS/CCUS project development, Hydrogen/Ammonia supply chain development, Geothermal utilization, CI (Carbon Intensity) measurement and agriculture optimization, and Digital transformation. The MOU is non-binding and solely for the purpose of facilitating joint collaboration and development of projects within North Dakota.

The MOU proposes an initial period of 10-12 months where the respective parties will set key goals and milestones, identify opportunities, evaluate the market and develop initial strategies based on feasibility studies.

On Wednesday, members of the North Dakota delegation visited Japan's Ibaraki Prefecture, where Burgum invited Gov. Kazuhiko Oigawa to visit North Dakota and learn more about how the state can help meet Japan's energy and other needs. Discussion topics included how carbon capture is helping North Dakota maintain baseload coal power and support enhanced oil recovery.

Gov. Burgum, Ibaraki Prefecture Gov. Kazuhiko Oigawa and First Lady Kathryn Burgum pose for a photo at the Ibaraki Prefectural Office and Headquarters (below) in Mito, Japan. BACKGROUND PHOTO: A view of Mito from the headquarters' observation deck.

While in Ibaraki, delegation members -- including representatives from North Dakota State University, the University of North Dakota and its Energy & Environmental Research Center -- met with Tsukuba University President Kyosuke Nagata and his team to identify areas of collaboration and discuss their shared interest in how research can support food, energy and national security.

ND joins with MN, MT and WI to develop multistate hydrogen hub; EERC to lead development

Gov. Burgum announced Wednesday he has signed a memorandum of understanding (MOU) with the governors of Minnesota, Montana and Wisconsin to develop a regional clean hydrogen hub to help meet the nation’s clean energy, transportation and agricultural needs.

Under the MOU, the four states agree to develop a proposal for a Heartland Hydrogen Hub, with the goal of obtaining federal funding from the U.S. Department of Energy’s $7 billion program announced last week to create regional clean hydrogen (H2Hubs) across the country. The funding is part of a larger hydrogen hub program included in the Bipartisan Infrastructure Law approved by Congress and signed into law by President Joe Biden.

In addition to Burgum, the MOU was signed by Minnesota Gov. Tim Walz, Montana Gov. Greg Gianforte and Wisconsin Gov. Tony Evers.

“By bringing together our expertise in agriculture and energy production, we can create a world-class hydrogen hub and do even more as states to feed and fuel the nation and the world,” Burgum said. “We are grateful to these states and their governors for their participation, collaboration and shared interest in American energy production, U.S. energy security, job creation, economic development and environmental stewardship. North Dakota is pleased to help lead these efforts as part of our all-of-the-above energy strategy and our focus on innovation over regulation to meet our nation’s changing energy needs.”

The Heartland Hydrogen Hub will incorporate clean hydrogen projects from various energy sources across the participating states. North Dakota, through the Energy & Environmental Research Center (EERC) at the University of North Dakota in Grand Forks, will lead the effort to develop the application in collaboration with industry partners and state coordinators from all four states. The states also have agreed to identify opportunities to collaborate with tribal nations.

The EERC is home to the National Center for Hydrogen Technology and has a long history of developing, testing and integrating technologies for the production and uses of hydrogen, including experience in the production of hydrogen from both fossil fuels and renewable fuels. The North Dakota Department of Commerce will work with the EERC on North Dakota’s portion of the proposal development.

The Department of Energy said it aims to select six to 10 hydrogen hubs, with concept papers due by Nov. 7 and applications due by April 7, 2023. Additional funding opportunities may follow to accelerate and expand the network of clean hydrogen projects, the department said.

Burgum appoints Art Thompson as director of North Dakota Workforce Safety & Insurance

Gov. Burgum has appointed Art Thompson as director of North Dakota Workforce Safety & Insurance (WSI), effective Nov. 1, citing his leadership experience and background as both a team member and customer of WSI.

Thompson will join WSI following four years as executive director of the North Dakota Concrete Council, where he led all aspects of the industry trade association. He previously served as general and business manager of Williston-based JMAC Resources Inc., which provides heavy civil construction and ready-mix services. From 2012 to 2018, Thompson oversaw JMAC’s workforce, compliance with state and federal regulations including safety regulations, and financial forecasting and review. He also served as operations manager for Knife River Corp. and senior public relations representative for MDU Resources Group.

“We are excited to welcome Art back to Team ND; early in his career he served as WSI’s public relations manager,” Burgum said. “Art brings extensive leadership and external relations experience to the role along with firsthand experience as a team member and customer of WSI. We look forward to Art rejoining Team ND and his leadership at WSI.”

Thompson grew up in Washburn, N.D., in an environment of public service where his father was the sheriff and his mother was the jail matron. Thompson earned a bachelor’s degree in mass communications at Minnesota State University Moorhead and a master’s degree in management from the University of Mary in Bismarck.

“I am humbled and grateful to have the support of Governor Burgum and Team ND to be selected as the next leader of North Dakota Workforce Safety & Insurance,” Thompson said. “I look forward to working with the dedicated and talented members of WSI to enhance opportunities to reduce workplace injuries, to ensure injured workers receive timely care and benefits, and to create efficiencies within the agency to maintain competitive rates for policyholders and medical providers.”

Thompson will succeed current WSI Director Bryan Klipfel, who in June announced his retirement effective Dec. 31. Klipfel will assist with the transition through Dec 31.

With 260 team members and a two-year budget of approximately $73 million, WSI is an exclusive, employer-financed, no-fault insurance state fund covering workplace injuries and deaths. As the sole provider and administrator of the workers’ compensation system in North Dakota, WSI’s vision is a safe, secure, and healthy North Dakota workplace.

Join us for Recovery Reinvented on Nov. 3 in Grand Forks

Gov. Burgum and First Lady Kathryn invite the public to join the sixth annual Recovery Reinvented on Nov. 3 at the Alerus Center in Grand Forks.

This year’s event is focused on “Turning Advocacy into Action” and features an amazing lineup of speakers.

Registration for the free event is available at www.recoveryreinvented.com or at the link below.

Save the date! 2022 Main Street Summit Oct. 25-26 in Bismarck

The Main Street ND Summit provides an opportunity to connect, learn, get inspired, and gain insight to build and grow your community for the future.

For all of us, the state of today’s workforce is at top of mind as we identify and address the needs of our communities and state in 2022 and beyond. The 2022 Main Street Summit will be all about community and workforce.

Join us in Bismarck for the free event on Oct. 25 and 26!