A new refinery in North Dakota, the first of its kind in the country in nearly 40 years, will help drive the state's economy forward, MDU Resources said.

MDU Resources and Calumet Specialty Products Partners announced its Dakota Prairie refinery started producing diesel fuel primarily for the state economy.

"With more than two-thirds of North Dakota's diesel fuel currently imported into the state, the Dakota Prairie refinery is well positioned to meet strong regional demand with additional, locally produced supplies of diesel fuel," David Goodin, president and chief executive officer of MDU Resources, said in a statement. "Over time, we expect that this refinery has the potential to be an important contributor to the economic growth of the local and state economy."

North Dakota's economy is leading others in the nation and its unemployment rate has hovered below the national average rate of 5.5 percent for the better part of the year. North Dakota is the No. 2 oil producer in the nation, though the low price of oil has slowed the rate of production in the shale-rich state.

The Dakota Prairie refinery is designed to process 20,000 barrels of oil per day from the state's Bakken shale reserve. Up to 7,000 bpd worth of production in the form of diesel fuel will be sold to in-state customers.

North Dakota oil production for February, the last full month for which data are available, was 1.17 million bpd. More than 90 percent of that comes from Bakken shale.

Construction on Dakota Prairie began in March 2013. It's expected to employ about 80 people.