Cobra Oil & Gas Company has provided a property update on its Starbuck Prospects, located within the Willston Basin in Valley County, Montana. The leases comprise 82,000 acres within multiple zone shallow gas trends (Judith River and Eagle) and multiple zone deeper oil trends (primarily Mission Canyon, Lodgepole and Bakken).

The USGS released a report in April 2008 stating the US portion of the Bakken contains up to 4.3 billion barrels of recoverable oil (BBO), and up to 3.0 trillion cubic feet of natural gas (TCF). On Cobra's Starbuck Prospect within the Bakken formation, geological analysis has estimated the potential for the shallow gas structures could be 260 BCF of natural gas. At $4/MCF this could translate to over $1 billion, if the gas was fully realized.

Cobra's Starbuck Prospect has many similarities to the major producing Tiger Ridge field, which has produced over 300 BCF to date. The Tiger Ridge field lies in close proximity to the Starbuck prospect and also encompasses a comparable size. "Having analog fields with similar characteristics and substantial production allow us to see the potential of our Starbuck Prospect in Montana," said Cobra's President, Max Pozzoni. "These shallow gas trends offer the possibility of short term production and cash flow."

Tags: Cobra Oil & Gas