Wednesday, April 02, 2008

Nearly $1 Trillion Barrels of Oil in North Dakota?

For those of you who believe in the "Peak Oil" you may be disappointed to find out that the earth has a whole lot more to give (now, whether we will receive it....thats another story).

The U.S. Geological Survey is completing a study of the Bakken Formation in North Dakota, one of the researchers who died before the study could be completed estimated their could be north of 900 billion (yes, with a "b") barrels of recoverable oil.

Now, other estimates peg the amount at "only" 200 - 300 billion barrels, a significant find. The famed ANWR is/was only expected to product 16 billion barrels. This find alone (which was actually found in 1951) at the low end would boost US oil reserves by a factor of 10.

The question that will be on everyone's mind as this survey is completed is what will the U.S. do with it?

I say we pay off the national debt first!!! (not really!)

Scott Dauenhauer, CFP, MSFP, AIF
Meridian Wealth Management