Producers in the Bakken: You have a problem.
Despite the huge gains in oil production that have come from the Bakken formation in North Dakota, producers in the region haven’t found a way to market the natural gas from these wells, which has led to flaring it off. Aside from the environmental concerns of this technique, non-profit group Ceres estimates that flaring off gas is akin to throwing away about $1 billion in a year in potential revenue.
So why are all these producers tossing out that much potential? Because they simply haven’t found a way to get it to market economically. To find out why fixing this issue is extremely difficult, tune in to the following video, where Fool.com contributor Tyler Crowe takes a look at some of the major factors that keep this problem from getting resolved. Click here to watch.
Source: Motley Fool