Emerging exploration plays can be volatile. (Northern Oil surged last week on news that it had participated in three successful wells, bringing its total to 11, then quickly fell back.) Remember Denbury Resources, which soared on oil hopes in Mississippi, then treaded water when investors hot-footed it to the Bakken? "They can only really seem to comprehend one play at a time," says Bob Gillon, energy specialist John S. Herold's research director. Gillon doesn't watch Northern closely, but cautions that it doesn't own its wells. It leases land to operators in exchange for production royalties of 3%-to-37% (with an average working interest of 10%) and with little control over output. Shale's low permeability means production is often lower than it initially appears.

It's an oil company and was on the watch list for jim cramer.

bakken is hot

From a recent Mad Money show:

"You've got a great one in Northern Oil. Now Continental Resources (CLR) is better, but yours hasn't run yet, so stick with it."

Meanwhile, bulls who insist on crowding the Bakken belatedly might be better off focusing on Continental, Brigham and Northern Oil & Gas (NOG), whose market value back in February was too small for inclusion in this column. These, Morehead suggests, have the most exposure to the Bakken and have the most to gain if reserves there prove even more bountiful than hoped.