Bakken Oil Investing
The American Oil Revolution has begun, thanks to an unexpected and exciting convergence of three incredible factors:
- Oil discoveries in the Bakken field have created a North Dakota oil boom that shows no signs of stopping in at least the next several decades
- Advanced detection and extraction technology have made it possible to bring the oil supply to market
- The enormous opportunity to transform the American energy landscape is fueling investment at an unrelenting pace.
What this convergence really signifies, however, is extraordinary opportunity for the sophisticated investor seeking Bakken oil investing opportunities – and the time to act is now.
Oil in the Bakken
An impending global oil crisis has been hanging over the heads of America for a long time, and with industrial development in Asia, India, and China increasing energy demands around the world, there has been a sense of desperation about the future of American energy. That pressure, however, did what it always does for America: created promise for a future we can live with.
Geologists and scientists knew there was oil in the Bakken shale in the 1950s, but it was dismissed as being a relatively small find. Everyone was operating under the assumption that we would have less oil in 2030 than we do now. Bakken oil investing is destined to change that. A significant re-evaluation of the extractable oil in the Bakken region has determined that instead of a depleted supply by 2030, the North Dakota oil boom could be in full swing, producing more than 100 million barrels per day.
Fast forward technology
Newly evolving detection and extraction technologies like horizontal drilling and hydraulic fracturing are directly responsible for the American oil revolution. These technologies are not only applicable to shale extractions but can be used to extract additional oil and gas from previously established fields. A Harvard study published by Leonardo Maugeri from the John F. Kennedy School of Government reported that, “by 2020, the world’s oil production capacity could be more than 110 million barrels per day, an increase of almost 20 percent.”
The Opportunity Is Now
With this predicted ramp up of production, Maugeri predicts that the oil market will remain volatile through 2015 before the glut of oil begins to depress prices. The United States will play a key role in this production capacity, thanks to the Bakken shale. The opportunity for American investors to position themselves to take advantage of the American oil revolution has never been better.
The North Dakota oil boom is like no oil boom in the history of the world. It is truly an American oil revolution. The difference between now and then is that we know where the oil is. It’s simply a matter of using the technologies that have been developed to extract it. It’s no longer a prospector’s game: it’s a savvy oil investor’s dream.
