“America’s New Oil Haven — 3X Bigger Than Texas”

The latest ad from the Oxford Club has been rolling in on Gumshoe Beach in mighty waves, so let’s jump right on it before our loungers are submerged … it’s all about oil, as you might have guessed from the headline, and it’s all about a huge oil field that’s “buried beneath the midwestern prairies.”

Here’s how the pitch opens:

“Buried Beneath The Midwestern Prairies… Sits The Biggest U.S. Discovery In 40 Years… Investors Who Get In Now Are Poised To Make 13,594% Gains…

“‘The biggest oil-field discovery in the U.S. in 40 years.’ — The Wall Street Journal

“It’s not just the new Texas…

“It’s 3-times bigger.

“In short, there’s a spectacular reserve bubbling beneath the midwestern prairies that has the potential to finally end America’s addiction to foreign oil.”

And just to make sure we didn’t get the picture, they even go so far as to write about a few of the North Dakotans who’ve got extraordinarily wealthy over the past few years thanks to the value of the oil under their land — including the retiree who upgraded to an 11,000 square foot mansion that boasts orange shag carpeting.

I’ll leave that without further comment.

So yes, for long-time Stock Gumshoe readers this will all be very clear — but just in case it isn’t, they’re talking about the Bakken formation and about the Williston Basin, a huge shale-trapped oil field that lies deep beneath parts of North Dakota, South Dakota, Montana and the Canadian prairie provinces.

The Williston basin has been big news for investors for a couple years now, with a big boom in 2008 as oil hit new highs and horizontal drilling and “fracking” achieved continually better results, then a huge collapse as many of the little explorers up there felt financial pressures with the credit crunch and the collapse in oil prices over the Winter of 2008/2009 … and since then, the recovery has been strong in pretty much all the Bakken/Williston drillers I know of.

So that’s the broad theme of the investment that the Oxford Club folks are spinning — and, as you might suspect, they have a few specific stocks they think you should buy. They’ll tell you what they are for the favor of a subscription to their newsletter, of course … but that’s why we’re here, to see if we can’t figure them out ourselves from the clues, and maybe even chat about ’em a little bit.

So I’ll leave the big theme arguments behind here — yes, this is the biggest oil field discovery in decades, yes, it’s a huge area, yes, landowners are getting rich, and yes, there may be as much as four billion barrels of oil coming out of this basin in the decades to come. So there will be money made, assuming that we keep burning oil.

But which of the dozens of explorers, producers and drillers should we buy if we want to get some leverage to the Williston boom? The clues, please …

“Williston Basin Riches Play #1

“Aggressive land acquirer sitting on prime oil-rich real estate

“This tiny company is one of the fastest growing gas and oil exploration and production companies in the Midwest.

“Through aggressive acreage acquisition it now controls 80,000 mineral acres in Williston Basin.

“Its production has increased nine consecutive quarters and there’s no sign it’s slowing down.

“It has a staggering 10