To stay strong against competition, Encore has been exploiting many of the projects that it discovered in 2006, including the Bakken Shale in North Dakota and Montana. As the United States tries to lessen its foreign energy dependence, the Bakken has enormous potential, which Encore is in a position to exploit.
In 2009, EAC incurred a net loss of $97.9 million on revenues of $685.4 million. This represents a turnaround from 2008, when the company generated a net income of $485.1 million on $1.14 billion in revenue.
EAC has only one reportable business segment. The company operates in the following geographical areas:
While high oil prices have driven record revenues for Encore, it is potentially a double-edged sword for oil companies. Despite increased demand in developing countries such as India, the United States demand for oil has declined due to decreased affordability for consumers.
High prices in conjunction with concerns over the environment have driven the alternative energy industry that is attempting to alleviate dependence on oil. Solar panels, wind turbines, nuclear reactors, biofuels, and other sources of energy are threatening the long term sustainability of the oil industry. More and more economically conscious consumers are purchasing cars that rely on energy besides oil and decreasing their energy consumption.
This is also tied to the concept of peak oil; since oil is a finite resource, there is a point in time where production will peak and then decline until there is no more oil left. Once the peak has been surpassed, oil prices will skyrocket because of less production and greater demand due to the natural increase in global population. This will only further increase the need for alternative energy sources. Estimates for peak oil range from 2000 to 2025. 
Encore has put emphasis on acquiring properties in the Bakken and owns 178,000 acres there; the U.S. Geological Survey estimates there are upwards of 400 billion barrelsof recoverable oil in the Bakken- an amount that is sufficient to meet US oil needs for 20 years. Stretching across parts of North Dakota, Montana, and Southern Saskatchewan, better technology and techniques such as horizontal drilling are giving way to the development of the full Bakken Formation; higher oil prices also make drilling there more economical.
Drilling in the Bakken has been successful for Encore thus far and has spurred an acceleration in the drilling of wells to increase production. Surpassing original plans to have three rigs in the Bakken by January of 2009, Encore will have four rigs in place by that time.
Encore competes with several other companies in many of the same fields and regions to produce and acquire gas and oil. Main competitors include: