Wednesday, 19 October 2011 13:49

The New Saudi Arabia is in North Dakota

Harold Hamm is the Oklahoma-based founder and CEO of Continental Resources (America’s 14th-largest oil company), and the original discoverer of the gigantic and prolific Bakken oil fields of Montana and North Dakota. He estimates "that the entire field, fully developed, in Bakken is 24 billion barrels" as opposed to government estimates at between four and five billion barrels. The US is a top world crude oil producer and can become "completely energy independent by the end of the decade." 

"We expect our reserves and production to triple over the next five years." 

Sure, what it takes is not necessarily to find more crude oil in the USA, because what has been already discovered is more than enough for "the federal government ... over time [to] raise $18 trillion in royalties.” That would cover the U.S. national debt. The real problem is not with the oil fields but with politics and politicians in Washington. 

"President Obama is riding the wrong horse on energy." We can’t come anywhere near the scale of energy production to achieve energy independence by pouring tax dollars into "green energy" sources like wind and solar. It has to come from oil and gas. 

The wind of change may change again, in 2012, and more realism will allow less regulation against the oil industry. Among the many benefits deriving from a booming oil production in North America one may consider: reduced unemployment, lower gas prices, more freedom to move and less social tensions, energy independence from troubled countries and international politics. There's a piece of optimist even for the "green" developers: with no reason to hurry for the next wind mill or electric car crash, the research on new energies has a more comfortable time-frame for delivering high quality alternatives to crude oil and gas, won't be pressured to go public with half baked solutions and discredit herself, the way it currently does by eating subsidies faster than producing consistent long term results.   

Investing in American oil has a palpable potential: the crude down there in the Bakken oil fields is gonna last far longer than any politician in Washington. 

Source: How N. Dakota Became Saudi Arabia: Interview With Harold Hamm, Discoverer Of Bakken Oil


Share on Myspace