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You know it. I know it. Practically everyone knows it. The Bakken Shale formation in North Dakota and Montana has a lot more oil than originally thought. But now it’s going to be official. Interior Sec. Ken Salazar recently announced that the US Geological Survey will finally update its 2008 assessment of undiscovered, technically recoverable oil and gas in the US portion of the Bakken formation. The update will begin in October and take about 2 years to complete. If you recall, the original assessment estimated 3 – 4.3 billion barrels of undiscovered, technically recoverable oil in the US portion of the Bakken. The Bakken formation estimate was the largest USGS oil assessment of the lower 48 states and is still the largest “continuous” oil accumulation ever assessed by the science organization. But that was 3 years ago. We’ve come a long way since then and the difference between the Bakken 2008 and the Bakken 2011 is night and day. For one, the confirmation of the Three Forks/Sanish formation basically doubles the amount of oil in the region. Also rapid advances in drilling and production technologies including “horizontal fracking” have resulted in substantially larger technically recoverable oil volumes. In fact, due to highly successful drilling techniques and increased production rates, the North Dakota Department of Mineral Resources is starting to see indications that there could be over 11 billion barrels [P1] of recoverable oil in the state. This rough estimate blows the previous 4.3 billion barrel estimate out of the water. There’s no doubt in my mind that this new USGS assessment will be the most anticipated report that they’ve ever produced. So take a position in the Bakken now while you still can. Although we’ll have to wait 2 years to see it, this report is guaranteed to supercharge your investments when it finally comes out. Yours in profits,
Roger Gaines |
