Wednesday, July 11, 2012

North Dakota's Oil Production Sets New Record in May: 640,000 BOPD

Link here to There are some great data points at the link.

I don't think the new "Director's Cut" is out yet, but it should be out any time now. I do believe the number of rigs has decreased slightly this past month (probably true in May, also) and I'm sure "they've" choked back some production due to price, glut, etc., so this 5% increase month-over-month is even more impressive.

A huge "thank you" to CarpeDiem for posting this. I'm a bit late with some data due to challenges of traveling and limited wi-fi. Yes, I know in this world of 24/7 connectivity, that is no excuse.

Fortunately, Iranians Do Not Read US Newspapers -- Absolutely Nothing To Do With The Bakken

Some things I simply cannot make up. This is a direct quote from the LA Times:
The U.S. already has sent two aircraft carriers and a squadron of F-22 fighters to the Persian Gulf, and is keeping two U.S. army brigades in Kuwait. Though much of the buildup has been publicly acknowledged by the Pentagon, the deployment of the submersibles has not been publicly disclosed, apparently to avoid alerting Iran.
Wow, I wish Sam Kinison were alive. 

I guess the LA Times does not consider this a "public disclosure." Fortunately this bit of "top secret" intel was buried in the sixth paragraph of the story. It will take years for the Iranians to translate this story, and even longer for them to get to the sixth paragraph.

By the way, I doubt the Iranians are troubled by the F-22. US pilots are probably more concerned with the aircraft than the "enemy." I'm surprised it's even deployed.

[Update: my bad. The Iranians don't have to read to the sixth paragraph. It was noted in the headline.]

Voyager Oil and Gas To Acquire Emerald Oil


July 12, 2012: another look at the announcement and more background information at
The combined company's first operated well will be in Dunn County, N.D., which is planned to begin drilling in early 2013 and will be followed by a continuous single-rig drilling program in 2013.

Original Post
Link here at Rigzone. com.
Voyager Oil & Gas, Inc. and Emerald Oil Inc., a wholly owned subsidiary of Emerald Oil & Gas NL, announced that they have entered into a securities purchase agreement whereby Voyager will acquire Emerald Oil to create a U.S.-based oil and gas company that will focus on select oil and gas basins in the Rocky Mountain region. The transaction will combine the companies' oil-producing assets in the Williston Basin, specifically in the Bakken and Three Forks plays located in North Dakota and Montana, with Emerald Oil's acreage position focusing on the Niobrara shale in the Sandwash Basin located in Colorado and Wyoming.

The transaction will significantly expand the acreage position of both companies in the Williston Basin. The combination is intended to create an oil and gas company with operating capabilities that has the ability to effectively manage a multi-rig drilling program in the Rocky Mountains and extract maximum value from both of its operated and non-operated drilling programs.
The new company will operate as Emerald Oil and will be headquartered in Denver, CO. 
The combined company will operate as Emerald Oil and will be headquartered in Denver, Colorado and maintain its lease acquisition program from Billings, Montana focused on the Williston Basin.

Higher Unemployment A Year From Now -- Pimco's Gross

Just a matter of time.
Federal Reserve policies are progressively having less impact, and by this time next year we'll see unemployment higher than today's 8.2 percent, Pimco co-founder Bill Gross told CNBC's "Street Signs" on Wednesday.

While the Fed could cut interest rates on reserves or adopt quantitative easing - whereby the Fed buys financial assets to inject a more money into the economy - among other policies, Gross said "interest rates are close to rock bottom at the front end of the curve and there's little the Fed can do there."

Whiting's Increased Stages - No Increase in Water, Proppant

Link here to Mike Filloon at SeekingAlpha. com.

Global Warming Update -- Absolutely Nothing To Do With The Bakken


July 17, 2012: 30-second sound bite -- "tree rings don't lie, politicians do."

Original Post

Link to the British newspaper here.

Something tells me this won't be on the US nightly news any time soon.
Rings in fossilised pine trees have proven that the world was much warmer than previously thought -- and the earth has been slowly COOLING for 2,000 years. [Yes, cooling.]

Measurements stretching back to 138 BC prove that the Earth is slowly cooling due to changes in the distance between the Earth and the sun. [Thank goodness fossil fuels are being used when we most need them to throw off that global warming CO2.]

The finding may force scientists to rethink current theories of the impact of global warming. [Don't hold your collective breaths.]

It is the first time that researchers have been able to accurately measure trends in global temperature over the last two millennia.
Regular readers of this blog knew about the global warming that occurred during the Age of the Vikings, when coal-powered boats were all in vogue.  Time Magazine, with its front cover about the coming ice age back in the 70's, was right. And then the inventor of the internet, Al Gore, came along.

Production Runs For Wells That Are Confidential

From a much earlier on my FAQ page:
"All information furnished to the director on new permits, except the operator name, well name, location, spacing or drilling unit description, spud date, rig contractor, and any production runs, shall be kept confidential for not more than six months if requested by the operator in writing. The six-month period shall commence on the date the well is completed or the date the written request is received, whichever is earlier. If the written request accompanies the application for permit to drill or is filed after permitting but prior to spudding, the six-month period shall commence on the date the well is spudded."

All Four Computer Users Using Apple -- Absolutely Nothing To Do With The Bakken

For the past couple of days, I've mentioned the "demographics" of the Apple computer and the Apple computer user as I've crossed this great country, from Harvard Square (Boston/Cambridge) to San Antonio, to San Pedro (Los Angeles).

Up until today, no one was using a computer in the San Pedro Starbucks on Western and Westmont Drive where I have been coming for the past week or so. Now, today, everyone in here using a computer is using an Apple. There are four of us: two MacBook Airs, one aluminum MacBook Pro (?), and I'm using my very old trusty white MacBook that has the best wi-fi receiver in the world. I say that because my old MacBook wi-fi receiver will pick up signals that my iPad won't pick up. It's pretty incredible.

Another bit of trivia: last night, we went down to the Starbucks overlooking the Pacific Ocean, Ranchos Palos Verdes. Beautiful evening. But this surprised me. The patio closes at 8:30 p.m. and the coffee shop closes at 9:00 p.m. Wow, that's early. Most of us are just getting started.

Senate Not Interested in Backing Obama Tax Cuts -- Absolutely Nothing To Do With the Bakken

It's a convoluted political story which means squat but at the end of the day, the Senate does not support the president's tax cut plan for the middle class as currently written.

By November 1, one can bet the Bush tax cuts will be extended for some folks. Maybe not for Paris Hilton. Regardless of how it turns out, Denise Rich doesn't have to worry any more.

Because You Asked: NOG

First, operational update.

Second, Yahoo-In Play:
Northern Oil & Gas reports that it expects Q2 2012 production to increase ~20% compared to first quarter 2012: Co reported that Q2 2012 production to increase ~20% compared to first quarter 2012, resulting in an average of ~10,200 barrels of oil equivalent per day.  During the first two months of the quarter, the weighted average days on production was ~52 out of a possible 61 producing days, or ~85% of potential producing days.  Preliminary estimates of June's weighted average days on production appear to be consistent with the first two months of the second quarter.  During the second quarter of 2012, Northern Oil had ~162 gross wells completed and placed into production.  As of June 30, 2012, Northern Oil was producing from a total of 955 gross wells.
Third,  five mid-cap stocks to beat the market. This eclectic list included only two energy companies: NOG and one other.

Toofer: RNB Energy and Independent Stock Analysis

First, Independent Stock Analysis.

And, second: Can Mont Belvieu handle the natural gas liquids surge? -- RBN Energy, Part II. Six months ago I had not heard of Mont Belvieu. One month ago I could not spell it. I still have to double-check.

Another One Bites The Dust -- Absolutely Nothing To Do With the Bakken

First Stockton, then Mammoth Lakes, now San Bernardino -- the third California city in two weeks to declare bankruptcy. Falsified budget for 13 o 16 years.

Something tells me there is not a lot of talk about all the benefits of the bullet train to nowhere recently approved by the state.

This begs the question: is California too big to fail?