Ultra Petroleum (NASDAQ:UPL) has been pretty quiet on the acquisition front recently, but that changed this week when the oil and natural gas producer made a $680 million purchase in the Uinta Basin. Not every purchase is perfect, so in this video Fool contributor Tyler Crowe takes a look at three ways you can look at this deal.

If you are looking at this from a bearish standpoint you should be concerned about takeaway capacity. The region offers a very limited crude pipeline and only 63,000 barrels per day of refining capacity from two refineries owned by Tesoro (NYSE:ANDV) and HollyFrontier (NYSE:HFC). Tune into the video below to see the other ways investors can view this recent move.

Fool contributor Aimee Duffy has no position in any stocks mentioned. Fool contributor Tyler Crowe has no position in any stocks mentioned. You can follow them both on Twitter: @TMFDuffy and @TylerCroweFool, respectively. 

The Motley Fool recommends Ultra Petroleum. The Motley Fool owns shares of Ultra Petroleum and has the following options: long January 2014 $30 calls on Ultra Petroleum, long January 2014 $40 calls on Ultra Petroleum, and long January 2014 $50 calls on Ultra Petroleum. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.