How Does The Bakken Compare To Oklahoma or Texas?

This is just a single data point. For a full analysis, it would take more time and much more expertise than I have.

But this one slide from Whiting's current (September, 2010) presentation speaks volumes. This is slide 7 of the presentation (or slide 8 on Adobe download), Whiting's oil production (if I am interpreting the slide correctly):

• From Oklahoma for the entire calendar year 2008: 1.5 million barrels
• From Texas for the entire calendar year 2009: 3.6 million barrels
• From North Dakota for one month, August, 2010: 1.3 million barrels

Yes, Whiting produced almost as much oil in one month from North Dakota as the company did from Oklahoma for an entire year and about a third of what they produced in all of Texas in one year.

The reason I bring this up is because of the story in the Dickinson Press today about oil activity around Dickinson. Note the quote in the story: " ... within the last few weeks, most noticeably after Whiting Oil and Gas Corp. announced its recent success and future plans, activity has exploded."

Future plans:

• CAPEX will double in 2010 over 2009: $830 million vs $490 million (slide 19).
• Whiting will participate in 52 net wells in the Sanish in 2010 (90 Whiting-operated wells) (slide 22).
• Emphasis on the Lewis and Clark Prospect, near Dickinson (slide 36).

It must be the increased interest in the Lewis and Clark Prospect that is bringing landmen to Dickinson.


Reminder to investors: WLL has stated that their production goals for third quarter 2010 will be impacted by the Enbridge pipeline shutdown, but WLL said it should meet its full year goals.