BP plc (ADR) (BP), ConocoPhillips (COP): The International Axis of Shale Oil

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Argentina
The shale gas and oil resources in Argentina has the potential to really put the country at the forefront of the world’s energy map. Not only does the country hold the fourth largest shale oil reserves, but it’s also No. 2 in shale gas reserves. Investors looking to profit as the country develops these reserves could look at global giant Chevron Corporation (NYSE:CVX), which completed its first two exploratory wells into the Vaca Muerta formation last year, with another well currently being drilled. The company has three more appraisal wells planned, and given the vast reserve estimates for the country, this could be a big future driver for Chevron Corporation (NYSE:CVX).

Libya
As the home of Africa’s largest proven oil reserves, Libya is crucial to the world’s oil markets. Unfortunately, the country also has a very unstable political environment and can be a dangerous place, as evidenced by the Benghazi attacks.Those security concerns have forced oil giant BP to begin withdrawing some of its staff, which shows you just how volatile the situation is. Until the environment stabilizes, Libya is likely to be more of a potential liability for oil producers instead of an asset.

Final Foolish thoughts
Thanks to advances in technology, the world now has more oil that is now technically recoverable, and this development has the potential to change the landscape of the world’s oil markets. Of all the companies I’ve mentioned, the one with the potential to lead the charge is Halliburton. It’s a world leader in unconventional resources, and with 72,000 employees across 80 countries, Halliburton has the boots on the ground, so to speak, to benefit from oil production growth all over the world.

The article The International Axis of Shale Oil originally appeared on Fool.com and is written by Matt DiLallo.

Fool contributor Matt DiLallo owns shares of ConocoPhillips. The Motley Fool recommends Chevron and Halliburton and has options on Chesapeake Energy.

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