With the Syria situation as the backdrop, tt’s becoming rather obvious in recent days that major U.S. oil companies have finally “seen the light” and are methodically exiting some of their oil interests in the Middle East and Africa. In just the last two weeks, Apache and Anadarko have sold foreign interests, and U.S. companies in Egypt are looking to pull out there. ExxonMobil is in a joint venture with a large Russian Oil Company, but now they're taking a second look at that relationship. And on top of it all, Saudi oil fields are drying up, as are many oil fields around the world.
Whether the USGS is more accurate about the Bakken (7.4 billion recoverable reserves), or the industry is more correct (24 billion recoverable reserves), I’m placing my bets in the Dakotas. Big oil has ‘missed the boat’ while Warren Buffet has pocketed 3 billion moving Bakken oil to both coasts, the Gulf, Eastern Canada, and more.
Let’s face it: It's just become too risky to put billions of investment dollars in foreign countries with unstable governments. Whether it’s Anadarko, Statoil, Marathon, Conoco-Phillips, etc., somebody is going to make a Bakken play pretty darn soon.