America is sitting on top of a super massive 200 billion barrel Oil Field that could potentially make America Energy Independent and until now has largely gone unnoticed. Thanks to new technology the Bakken Formation in North Dakota could boost America’s Oil reserves by an incredible 10 times, giving western economies the trump card against OPEC’s short squeeze on oil supply and making Iranian and Venezuelan threats of disrupted supply irrelevant.We've apparently known of this oil for a long time, but back when oil was $10-$20 per barrel, the horizontal drilling required to get at it wasn't worth the cost. Now with oil hovering around $100 per barrel, that's all changed:
High oil prices and new technology make it worth the effort. Computer analysis and remote sensing systems, plus smart drills that can probe horizontally or snake left and right, vastly improve the odds of locating new pools and putting them into production. And though oil is unlikely to remain priced at current stratospheric levels, prices won’t drop to much lower levels, which happened several times since the 1970s, and cause new exploration to dry up. Even if prices fell by half, many barrels of oil could still be produced -- profitably -- from the region.The Kiplinger article goes on to note that Marathon Oil recently acquired 200,000 acres there and will drill some 300 wells over the next five years. Yeah, yeah...we still have to boost our refining capacity, but I'm sure that will ramp up once Bakken oil starts flowing in earnest.