Time has passed but nothing has changed

Posted by bakken

About a month has passed and not much has changed with our Bakken plays.  Oil is still around the $40 per barrel mark and any increase seems to be tempered by the doldrums of the dow which is in a trading range between 7800-8800 over the last month.   Today MDU reported a fourth-quarter loss on Tuesday, partly due to a non-cash charge related to lower energy prices at its natural gas and oil operations. The net loss was $11.4 million, or 6 cents per share.   The stock was off 5% in early trading.   In addition, BP,  a 130 billion dollar oil giant, saw a $3.3 billion dollar loss due to the precipitous drop in oil prices.   If the big players are seeing this bad an effect from falling oil,  we should expect our bakken plays to report losses over the next few weeks as companies report.    We can only hope that these losses are already priced into the shares.  Whiting Petroleum had a share offering that raised about $200 million about a week ago which sent the shares down more than 30% but it may be attractive entry point around $27 as it should have the cash to weather the storm.

Good luck to all!

Symbol	Last Trade		Change		Volume	Avg Vol (3m)
NOG	10:19AM ET	3.04	0.00	0.00%	18,273	226,852
WLL	10:19AM ET	28.450001	0.179998	0.63%	381,272	1,654,570
SM	10:19AM ET	19.27	0.28	1.47%	56,722	900,661
MDU	10:19AM ET	18.82	1.11	5.57%	415,591	1,349,880
GEOI	10:19AM ET	7.39	0.03	0.41%	4,824	76,396.8
BSIC.OB	Feb 2	0.91	0.00	0.00%	0	38,635.9
WSEG.OB	10:02AM ET	0.059	0.001	1.67%	9,200	124,269
CLR	10:19AM ET	20.50	0.10	0.49%	138,567	1,525,500
BEXP	10:19AM ET	2.38	0.04	1.71%	155,535	746,571
KDKN.OB	10:09AM ET	0.495	0.00	0.00%	700,500	95,348.4
KOG	10:17AM ET	0.2999	0.0001	0.03%	257,438	690,510
EOG	10:19AM ET	66.91	0.17	0.25%	525,409	4,191,610

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Signs of life

Posted by bakkenexpert

The downturn in financial markets had sparked renewed fears of a global slowdown amid the credit crunch.  For the better part of the last 2 weeks, this took its toll on the price of oil which caused our bakken plays to drop 10-20% during the period.   There has been such a mistrust of the financial system that now oilinvesting is being viewed as a flight to quality which may provide a short term base while the capital market issues attempt to resolve themselves.   On a positive note,  it does look like oil has major support around $90 and if we can get a prolonged hold of that level, then big dollar oil investors may enter the fray.

bakken

Symbol	Last Trade		Change		Volume	Avg Vol (3m)
NOG	11:23AM ET	7.04	0.12	1.73%	170,642	508,603
WLL	11:24AM ET	70.59	0.49	0.70%	404,045	1,190,530
SM	11:23AM ET	34.86	0.06	0.17%	531,390	1,456,460
MDU	11:24AM ET	26.65	0.15	0.56%	511,302	1,106,240
GEOI	11:23AM ET	11.11	1.16	11.66%	89,040	214,415
BSIC.OB	11:11AM ET	1.30	0.10	7.14%	18,795	43,792.3
WSEG.OB	11:20AM ET	0.1250	0.0400	24.24%	257,534	789,254
CLR	11:23AM ET	36.39	1.90	5.51%	1,304,581	2,017,570
BEXP	11:23AM ET	12.74	0.65	5.38%	478,931	1,304,140
KDKN.OB	11:23AM ET	0.86	0.26	23.21%	105,260	95,510.8
KOG	11:23AM ET	1.3800	0.1800	15.00%	1,128,631	1,350,410
EOG	11:24AM ET	90.33	1.52	1.71%	2,018,772	4,224,690

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