Director's Cut -- August 18, 2011 -- Bakken, North Dakota, USA

Overall theme: more of the same; no surprises.

Link here.

Production hits (another) all-time high in North Dakota:

• May, 2011, oil: 361,407 bopd 
• June, 2011, oil: 384,678 bopd (all time high) (6.4% increase m-o-m)
• May producing wells: 5,579
• June producing wells: 5,558

Permitting

• May, 2011: 154 drilling
• June, 2011: 138 drilling

Pricing

• May, 2011: sweet crude, $94.69
• June, 2011: sweet crude, $91.69
• Back of envelope calculations: April, 351,183 x 103.91 = $36.491 million; May 361,407 x 94.69 =$34.221344 million; June, 384,678 x $91.69 = $35.271 million

Director's comments:

The summer surge is picking up steam. But, idle well count sured to over 900 wells in June. Crude take away capacity is more than adequate. As fall approaches and the rig count rises, permit activity is expected to increase so locations can be built prior to winter weather.

Rigs

• 20,000-foot capable rigs: over 90% utilization rates
• 7,000 or less-capable rigs: about 50% utilization rates

North Dakota Named One of "America's Most Pro-Business States

Link here.

North Dakota was named one of "America's most pro-business states", according to the Pollina Corporate Top 10 Pro-Business States for 2011 study released Monday. The study, considered the most comprehensive, unbiased and unvarnished by the economic development industry, is the "Gold Standard" for evaluating and ranking states.

North Dakota was this year's most improved state in business rankings, climbing in the rankings from #18 to #3 in the last three years.

Data points:

Top 10 Pro-Business States for 2011 are:

1. Virginia
2. Utah
3. North Dakota
4. Wyoming
5. Nebraska
6. Kansas
7. South Dakota
8. Missouri
9. South Carolina
10. Indiana

More information here.

The study is based on 32 factors controlled by state government, including taxes, human resources, education, right-to-work legislation, energy costs, infrastructure spending, workers compensation laws, economic incentive programs and state economic development efforts. Two new factors - state budget deficit and state property tax index - along with a comprehensive State Report Card have been added to this year's study.

Nine (9) New Permits -- 100% of All Bakken Wells Released From Confidential Status Today Waiting To Be Fracked -- Bakken, North Dakota, USA

Daily activity report, August 17, 2011 --

Operators: OXY USA (2), Petro Harvester (2), Hess, Helis, EOG, MRO, XTO

Fields: Truax, Columbus, Spotted Horn, Squaw Creek, Fayette, Cabernet, Strandahl, and one wildcat

Hess has the wildcat in Williams County.

OXY USA has a multi-well pad, two more Stroh wells

Only one well came off the confidential list today and that well is waiting to be completed; thus 100% of all wells released from confidential status today are waiting to be completed.

For Investors: Three Links -- All About the Bakken

Five beaten up oil stocks to ride high again: KOG, BEXP, WLL, NOG, and Carrizo. Four out of five in the Bakken -- SeekingAlpha.com. 

Is this the best Bakken stock? -- Motley Fool ---> before linking to the article, see if you agree with Motley Fool? Abraxas, BEXP, CRL, DNR, ENB, GMXR, HAL, KOG, LUF, MRO, WLL?

Is MRO another buying opportunity? -- Motley Fool

Jon Stewart -- Ron Paul -- Iowa Straw Poll -- Debates -- Not A Bakken Story

No matter who you like/don't like, and even if you don't like Jon Stewart, this really is a great segment.

It has nothing to do with thte Bakken but explains why I never watch the four major networks any more for news.