This Oil Play Just Got a Government Stamp of Approval

Back in 2008, the U.S. Geological Survey gave an official estimate of how much total recoverable oil may be in the Bakken formation of North Dakota and Montana. At about 3.5 billion barrels, many thought it was a bit low. Now, after five years, the USGS has done another assessment and determined that the region will be able to produce more than double that amount. 

For those who have followed oil companies in this region, this shouldn't come as too much of a surprise. The original assessement did not include some of the deeper formations, and people in the business believe that the 7 billion barrel estimate just released is still a bit conservative. In this video, Fool.com contributor Tyler Crowe takes a look at how investors should react to the news, and if it changes the investment thesis on Bakken-centric producers like Kodiak Oil & Gas (NYSE: KOG  ) . 

Kodiak Oil & Gas is a dynamic growth story -- it offers great opportunities; but with those opportunities come great risks. Before you hitch your horse to this carriage, let us help you with your due diligence. To find out whether Kodiak is currently a buy or a sell, you're invited to check out The Motley Fool's premium research report on the company, which comes with a full year of updates and analysis as key news breaks. To get started simply click here now.


Read/Post Comments (0) | Recommend This Article (5)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

DocumentId: 2439317, ~/Articles/ArticleHandler.aspx, 7/24/2014 12:14:22 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement