In this edition, energy analysts Joel South and Taylor Muckerman discuss the recent ventures of Enerplus (NYSE: ERF ) and what they mean for long term investors.
Enerplus recently unloaded $220 million acres in Manitoba, which management considered non-core assets for its near-term goals. The proceeds will reduce the company's debt in addition to increasing its Sleeping Giant position in the Williston Basin. Enerplus plans on riding this increased position to profitability, focusing 2013 capital expenditures on growing oil and liquids production. With increased oil production expected in 2013 and a stronger balance sheet, Enerplus should have the ability to keep its dividend intact for 2013.
Enerplus is not the only growth play in the Williston Basin. Another emerging player in this region is Kodiak Oil & Gas. KOG is a dynamic growth story, but with great opportunities come great risks. Before you hitch your horse to this carriage let us help you with your due diligence. To see if Kodiak is currently a buy or sell, check out our new premium report, which comes with a year of timely updates and analysis.