Recoverable Oil in the Bakken -- North Dakota, USA

The USGS says 3 billion barrels.

Harold Hamm, CEO of Continental Resources, the "face" of the Bakken, estimates the Bakken holds 24 billion barrels of recoverable oil, making it bigger than Prudhoe Bay on the North Slope, Alaska, which is estimated to hold 14 billion barrels recoverable oi.

Pumping his own company?

Now, the director of the North Dakota Industrial Commission (NDIC) says there's a "50-50 chance" of North Dakota reaching 700,000 barrels of oil per day in production. And his estimate, now, of recoverable oil in the North Dakota Bakken: 11 billion barrels (Oil Patch Hotline, v. 14, #24, December 2, 2010).

I have opined that part of the reason for increased activity in North Dakota is due to the slowdown in drilling offshore in the Gulf of Mexico. Some readers have disagreed, feeling that what happens in the Gulf is unrelated to North Dakota.

The director of the NDIC says that the slowdown in the Gulf is one of three reasons why the Bakken is so active: a) venture capital flowing to the Bakken due to slowdown in drilling in the Gulf; b) nearly a 100% success rate in hitting oil when targeting the Bakken; and, c) and the low price of natural gas.

He could have added: a) business-friendly / government friendly environment; b) no evidence of the Taliban or Al-Qaeda in the immediate area; and, c) winters for those who want to escape the ravages inflicted by global warming.

I couldn't resist.

Seriously: for newbies -- remember -- the Bakken is only one of several oil-producing formations in the Williston Oil Basin in North Dakota.



It's Christmas, Red Squares>

Cancun Conference Collapses -- Not a Bakken Story

Many of my readers disagree with me on this issue. Be that as it may.

I debated posting it but the subject line was too good to pass up.  And it's otherwise quiet on a Saturday night.

A distinguished writer provides an update on global warming.

The US Core Competency: Social Networking -- Not a Bakken Story

It is 753 miles from Shanghai, China, to Beijing, China. Ten hours by conventional rail; five hours by high-speed rail.

It is 700 miles from Washinton, DC, to Chicago, Illinois. Eighteen hours (at least) with Amtrak.

China recently set a passenger train speed record, 300 mph for a bullet train between Shanghai to Beijing.

The Beijing to Shanghai route has 24 stations and runs from Beijing's South railway station to a state-of-the-art facility beside Hongqiao airport in downtown Shanghai. The project costs £21bn and the high-speed link between Beijing and Shanghai is expected to double the capacity of the current line to 80 million passengers a year and halve travel time to five hours.

By 2013, China will have the world's most comprehensive high-speed railway network and 800 bullet trains. So far, China has 4,706 miles of high-speed railway, more than any other country, and by 2020 it expects to have 75,000 miles of railway, of which 10,000 miles will be high-speed rail.

Amtrak's advertised time from Washington, DC, to Chicago is 18 hours (including sixty stops), but generally takes longer because cargo trains have priority. Amtrak leases routes on private rail and must sit on sidings to allow cargo trains to pass. 

In 2020, when China will have 10,000 miles of high-speed rail, the US will still be filing environmental impact statements for high-speed rail.

However, in the advertising and social networking arenas, the US outpaces everyone. Google is trying to buy a Groupon, a new social networking start-up, for $6 billion but apparently that is not enough to seal the deal.

Building Permits in Heart of Bakken Set New Record -- Double Previous Record

This really is an incredible story for such a little town.

Williston has set a new record for building permits: more than $100 million in one year for building permits.

The Williston Herald is reporting that there were $104 million worth of new building permits for Williston as of December 1, 2010.

The previous record? Last year (2009).

Value of the previous record? A paltry $44 million.

I cannot even imagine this kind of money pouring into a town the size of Williston. Think of all the workers needed to put up these buildings; the vehicles involved; the property taxes for the city.

Update: Now Dickinson is reporting their numbers. Through 2010, to date, Dickinson reports $68 million in building permits. In 2009, $42 million. Dickinson is #2, behind Minot, in single-unit housing permits for the state.