Jump to content
SiouxSports.com Forum
Sign in to follow this  
star2city

WSJ: Oil Booms in North Dakota

Recommended Posts

Wall Street Journal

KILLDEER, N.D.—A massive oil reserve buried two miles underground has put North Dakota at the center of a revolution in the U.S. oil industry, a shift that has radically altered the fortunes of this remote area.

The Bakken Shale deposit has been known and even tapped on occasion for decades. But technological improvements in the past two years have taken what was once a small, marginally profitable field and turned it into one of the fastest-growing oil-producing areas in the U.S.

If current projections hold, North Dakota's oil production could pass Alaska's by the end of the decade.

The Bakken Shale could contain up to 4.3 billion barrels of recoverable oil, according to the U.S. Geological Survey. That would make it the biggest oil field discovered in the contiguous U.S. in more than 40 years—and many in the industry believe the amount of recoverable oil could be even greater as new technology allows companies to tap more of it.

There is talk within the oil industry that parallel laterals may be placed with 600 ft of horizontal separation within both the Sanish-Three Forks and Bakken formations: effectively creating an tile-like oil drain system of the low porosity formations. The costs of such a system would be staggering ($100 billion?).

But with 2010 capital budgets in ND by oil companies like EOG, XTO, Whiting, Continental, Hess, Marathon all approaching or exceeding a billion $'s, the oil companies are not without enthusiasm.

North Dakota's economy is changing in a way that even the most optimistic Bakken supporters wouldn't have believed three or four years ago.

Share this post


Link to post
Share on other sites

The state should look at instituting something like the Alaska Permanent fund. We should also be developing some sort of commuter bus system to encourage people to repopulate small communities. These communities has exising infrastructure that is able to support larger populations and if commuting were made simpler, I think you would see more people taking up the opportunities.

  • Upvote 1

Share this post


Link to post
Share on other sites
The state should look at instituting something like the Alaska Permanent fund. We should also be developing some sort of commuter bus system to encourage people to repopulate small communities. These communities has exising infrastructure that is able to support larger populations and if commuting were made simpler, I think you would see more people taking up the opportunities.

I would also suggest NoDak develop programs and incentives to develop its economy across the board, so it's less dependent on agriculture and energy, and do more to keep many of us from having to leave the state after graduation. Maybe dropping the state income tax for corporations with physical operations in the state, and/or developing ultra-high speed technology infrastructure to make smaller communities more appealing for entrepreneurs and businesses.

Share this post


Link to post
Share on other sites
The state should look at instituting something like the Alaska Permanent fund. We should also be developing some sort of commuter bus system to encourage people to repopulate small communities. These communities has exising infrastructure that is able to support larger populations and if commuting were made simpler, I think you would see more people taking up the opportunities.

The voters voted for that in 1980. It's called the permanent oil tax trust fund. Unfortunately we couldn't trust the politicians and they have been raiding it every chance they can.

The voters had a chance to make it harder to do in 2008 but unfortunately that didn't pass.

How are we going to pay for our expanded government when the oil runs out (whenever that is?)

I disagree with your idea to pay for a commuter bus. People in Thompson don't hardly carpool. People from Finley aren't going to commute for an hour. Of course there are some exceptions.

Share this post


Link to post
Share on other sites
Wall Street Journal

There is talk within the oil industry that parallel laterals may be placed with 600 ft of horizontal separation within both the Sanish-Three Forks and Bakken formations: effectively creating an tile-like oil drain system of the low porosity formations. The costs of such a system would be staggering ($100 billion?).

But with 2010 capital budgets in ND by oil companies like EOG, XTO, Whiting, Continental, Hess, Marathon all approaching or exceeding a billion s, the oil companies are not without enthusiasm.

North Dakota's economy is changing in a way that even the most optimistic Bakken supporters wouldn't have believed three or four years ago.

Hopefully by the end of the current decade oil will be relatively worthless from lack of demand.

Share this post


Link to post
Share on other sites
Hopefully by the end of the current decade oil will be relatively worthless from lack of demand.

I guess all plastic will no longer be commonplace? Or jets will become solar-powered? And there will be a law that all motor vehicles must be electric by 2020.

Share this post


Link to post
Share on other sites
The state should look at instituting something like the Alaska Permanent fund. We should also be developing some sort of commuter bus system to encourage people to repopulate small communities. These communities has exising infrastructure that is able to support larger populations and if commuting were made simpler, I think you would see more people taking up the opportunities.

Some of the worst-hit rural NW counties - that have been losing population since the 30's - like Divide, Burke, Renville are going to experience opportunity for the first time in generations.

Agree that the eastern half of the state, excluding the Red River Valley, needs some answers. It's in a population death spiral.

Share this post


Link to post
Share on other sites

Wyoming has about $14 billion in our permanent mineral trust fund. Wyoming also is granting scholies to most instate students that choose to attend Wyoming higher ed institutions. It is called the Hathaway Scholarship. Here is a link on it..... Hathaway Scholarship

Also, if you qualify for the highest level of Hathaway, the U of WYO kicks in a minimum of another $2000 per year so it really is a decent amount of cash. My daughter is able to get though undergrad school with out borrowing a dime in student loans.

All this has been funded with the budget surplus we have had because of the high energy prices. North Dakota ought to look at doing something like this for the kids.

  • Downvote 1

Share this post


Link to post
Share on other sites
Wyoming has about $14 billion in our permanent mineral trust fund. Wyoming also is granting scholies to most instate students that choose to attend Wyoming higher ed institutions. It is called the Hathaway Scholarship. Here is a link on it..... Hathaway Scholarship

Also, if you qualify for the highest level of Hathaway, the U of WYO kicks in a minimum of another $2000 per year so it really is a decent amount of cash. My daughter is able to get though undergrad school with out borrowing a dime in student loans.

All this has been funded with the budget surplus we have had because of the high energy prices. North Dakota ought to look at doing something like this for the kids.

But it should only be for kids who were born or spent a significant portion of their lives in ND.

I don't want Dickinson, Minot, Valley City and Mayville trucking in a bunch of kids from AZ and CA through western student exchanges by giving everyone a free ride using ND dollars.

Wyoming doesn't really have that problem...isn't the U of WY the only 4 year school in the state? Wyoming did it correct, ND should've closeed all 4-year schools except NDSU and UND.

Share this post


Link to post
Share on other sites
Hopefully by the end of the current decade oil will be relatively worthless from lack of demand.

ok, i'll bite :sad: i'll make a wager with you... if oil consumption in the US is down say 3/4 by 2020 (making it "relatively worthless" as you say), then i will no longer post here on ss.com. now if US oil consumption is down only 1/2 (still viable, not worthless :) ), or even stays steady, then you leave? it's like a ten year game of russian roulette, except i know which chamber holds the bullet :) now, i've said many times in these discussions that alternative energy souces need to be used and improved upon, but unless someone pulls the rabbit out of a hat (hydrogen cell technology say), i don't see the US significantly reducing its oil use.

Share this post


Link to post
Share on other sites
ok, i'll bite :sad: i'll make a wager with you... if oil consumption in the US is down say 3/4 by 2020 (making it "relatively worthless" as you say), then i will no longer post here on ss.com. now if US oil consumption is down only 1/2 (still viable, not worthless :) ), or even stays steady, then you leave? it's like a ten year game of russian roulette, except i know which chamber holds the bullet :) now, i've said many times in these discussions that alternative energy souces need to be used and improved upon, but unless someone pulls the rabbit out of a hat (hydrogen cell technology say), i don't see the US significantly reducing its oil use.

Fuel cells, batteries, electric trains, who cares?

Ban internal combustion engines.

Share this post


Link to post
Share on other sites
Fuel cells, batteries, electric trains, who cares?

Ban internal combustion engines.

Human beings exhale approximately 3 pounds of CO2 daily. Why don't you lower your carbon footprint by putting a bag over your head and recycling your co2 waste?

  • Upvote 1

Share this post


Link to post
Share on other sites
Human beings exhale approximately 3 pounds of CO2 daily. Why don't you lower your carbon footprint by putting a bag over your head and recycling your co2 waste?

LOL, now that is funny. :):):sad:

Share this post


Link to post
Share on other sites
Human beings exhale approximately 3 pounds of CO2 daily. Why don't you lower your carbon footprint by putting a bag over your head and recycling your co2 waste?

Oh man, I think I just exhaled 3 pounds of CO2 laughing at your comment, hope the tree-hugger police don't hunt me down.

Pretty good Big A.

Share this post


Link to post
Share on other sites

http://www.popsci.com/technology/article/2...ne-bottle-water

Pie in the sky, sure.

But who knows, anything that gets us off oil is only a positive.

The pessimist in me says that oil companies are so perversely rich and powerful that they'd just buy any upstart, new technology and burn it or keep it on hold the next 50-100 years until they squeeze every last drop of profit out of fossil fuels for themselves.

Share this post


Link to post
Share on other sites
Fuel cells, batteries, electric trains, who cares?

Ban internal combustion engines.

Let me throw Bloom Boxes into this discussion. I heard about it on the radio this week and haven't really had time to educate myself, but I did hear that this was done entirely in the private sector.

Share this post


Link to post
Share on other sites
http://www.popsci.com/technology/article/2...ne-bottle-water

Pie in the sky, sure.

But who knows, anything that gets us off oil is only a positive.

The pessimist in me says that oil companies are so perversely rich and powerful that they'd just buy any upstart, new technology and burn it or keep it on hold the next 50-100 years until they squeeze every last drop of profit out of fossil fuels for themselves.

You should be thankful for oil companies right now. I'd explain more at the moment, but gotta work. And trust me, oil companies aren't crooks.

Share this post


Link to post
Share on other sites
You should be thankful for oil companies right now. I'd explain more at the moment, but gotta work. And trust me, oil companies aren't crooks.

I read somewhere that the oil companies only make an 8 percent profit and the government steals the rest of it.

Share this post


Link to post
Share on other sites

I'm thinking when they hit oil near our family land by Parshall, I just might have to buy a big used Hummer. Make that 2, one for me and one for MplsBison!

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

Sign in to follow this  

×