Hoeven, City, State Officials Cut Ribbon on DiverCity, New Housing Development For Energy Industry Workers

Senator’s Empower States Act Ensures Ongoing Energy Development, Good Environmental Stewardship

GRAFTON, N.D. – Senator John Hoeven, company officials and state and city leaders today cut the ribbon on Diverse Energy Systems new employee housing development, DiverCity, located in Grafton. Diverse Energy Systems is an energy services company that builds and services systems from wellhead to pipeline for the oil and gas industry in the Bakken oil fields.

Hoeven this summer introduced the Empower States Act in the U.S. Senate. The legislation will give states primacy in regulating hydraulic fracturing to ensure ongoing oil and gas development with good environmental stewardship in the Bakken and elsewhere in the country. Hoeven said the bill takes a states-first approach because individual states are the first and most interested responders to oil and gas issues. States know their land, their geology and their water resources and have a primary responsibility to protect their environment and their citizens.

“What DiverCity represents, in real terms, is a growing company in a growing community in a growing state,” Hoeven said. “It illustrates how creating a strong legal, tax and regulatory climate for businesses can create jobs, income and dynamic economic activity.”

“We appreciate the work that Senator Hoeven is doing to create the kind of business environment for the energy industry that is helping businesses like Diverse to succeed,” said Chet Erwin, CEO of Diverse Energy Systems. “That’s the kind of approach that will enable us to continue growing and creating jobs in North Dakota and elsewhere.”

The company was founded in February 2012 by Chet Erwin with the acquisition of Lean Technologies, a small fabrication shop in Grafton that employed 25 workers. The company is currently expanding operations with a field operations facility in Berthold and now employs a workforce of 75 employees at Grafton and 10 in Berthold, for a total of 85.

Diverse has a recruiting effort underway to raise employment to a total of 115 workers by February 2013 and 150 by this time next year. Revenue for Lean Technologies was approximately $3 million a year; Diverse Energy Systems projects revenues to grow to $25 million over a 12 month period.

The DiverCity housing project was prompted by the growing company’s need to house its workforce of skilled employees. The housing development consists of 10 duplex units on 3.5 acres of land on the north side of the city. It is designed to provide transitional housing for new employees until they can secure more permanent housing.

Also attending the ceremony were Governor Jack Dalrymple, Diverse Energy Systems CEO Chet Erwin, Grafton Mayor Chris West, Grand Forks Region Economic Development Corporation President and CEO Klaus Thiessen, Miss North Dakota 2012 Rosie Sauvageau and Grafton High School Homecoming Queen Brooke Feltman.