By Business Wirevia The Motley Fool
Filed under: Investing
Eco-Trade Corporation Provides Analyst Insights into Bakken Oil Formation and Comments on Its Oil Prospect in Montana
GREAT FALLS, Mont.–(BUSINESS WIRE)– Eco-Trade Corp. (OTCQB: BOPT), an independent oil and gas exploration Company, today provided insights on its property with the Bakken now being one of the largest sources of crude production in the USA and being considered to be a game changer in achieving American energy independence.
According to an article on CNBC, Fadel Gheit, an energy analyst at Oppenheimer, noted, “With U.S. crude oil hovering above $90, drilling in Bakken is like printing money. Capital is coming from all around the world, even Europe and Asia. It has single-handedly changed the outlook for oil production.” Gheit also called Bakken’s crude “one of the purest oil plays because it is comprised of 90 percent oil and 10 percent natural gas. Better technology and capital investment will only ramp that up.”
“The outlook for Bakken crude production over the next few years is promising, and many of the government reserve estimates could be understating the potential of Bakken and some of its surrounding formations,” Platts Energy news said. And a recent article on SeekingAlpha.com noted that Barron’s financial magazine reported that a Citigroup strategist said the exploration and production subsector of the energy sector looks “strong” due to favorable valuation factors. Also, in late March 2013, an article on Morningstar said that the energy sector remains “materially” undervalued.
According to BMO capital Markets, “While the play is still emerging, the Alberta Bakken appears to be developing into a potential new unconventional tight oil resource play.”
On Monday, Crude oil for May delivery gained 66 cents, or 0.7%, to settle at $93.36 a barrel on the New York Mercantile Exchange. The contract had touched an intraday high of $93.75.
Eco-Trade Corp. noted the following about its prospect:
1. It is located in the prime thermal maturity zone, where Vitrinite Reflectance (Ro) is between 0.7% and 1.5%. This is where oil generation in the Bakken is at its highest level.
2. Major oil companies are aggressively purchasing mineral leases and drilling in the Bakken Fairway including Rosetta Resources, which has drilled over 6 exploratory wells and confirms “significant oil hydrocarbons in place, 13-15 MMBOE per section, and over-pressured reservoirs.”
3. The prospect area is easily accessible, serviced by many highways and nearby towns, and the land itself is largely gentle rolling hills.
4. Drilling depth for …read more
Source: FULL ARTICLE at DailyFinance
