carrizo oil and gas was eviscerated today. the company presciently decided to transport into a more of an oil producer and there's been nothing short of spectacular. fast forward to today. currently lots of acreage in the eagle ford. i've neglected that. two oily plays i try to focus on and oil makes up more than half of the company's revenues. better still in the most recent quarter, carrizo delivered a 300% increase in oil production. that was 300. the company announced it's selling 250 billion cubic feet in the barnett shale to ath last resource partners for $190 million. money it can use to pay down the credit lines. that's why i'm thrilled to have chip johnson here with us tonight. welcome back to "mad money." >> good to see you, jim. >> have a seat. capital one, march 1st, all positive because the stock's been hit. they say we now value carrizo's eagle ford acreage at $30 per share. that is less -- that's above where the stock is currently trading and you got a ton more than just eagle ford. i don't get it. >> that's exa

it might take a year for people to realize carrizo's wort.d help if natural gas would stabilize. i think 70% oil, 30% gas in two years, up from 50/50. but in the interim, there will be plenty of questions about when they have the cash and if the price of oil will hold up long enough for the switch to be worthwhile. here is where twitter's total lack of subtlety plays a role. i adam am ant oil isn't going down. they sell and every other oil service company i like, schlumberger, on any down crude day. this would be a whole lot higher otherwise. you have to take heed on the emphasis on patience. without it, you will get sick of carrizo on a three-day oil streak blow it out. as we go into mad tweet mode, many times the answer to buy a stock or not is complex. the trust is simple. i don't know when stocks in the oil patch will rally, they are so darn cheap, i'm willing to risk the short-term pain with long-term gain. stick with cramer. so, how was school today ? i have to be a tree in the school play. good. you like trees. well, i like climbing th

they say we now value carrizo's acreage at $30 per share.hat is less -- that's above where the stock is currently trading and you got a ton more than just eagleford, i don't get it. >> that's exactly right. and the other thing we're doing is in the eagleford, we're testing right now and so is the rest of the industry is can can we down space and double that value? >> put more? >> we've put these 1,200 feet apart and looks like if you drill them half that far apart you get double the reserves. >> now, you have a 1,200% increase in production since initiating production in november of 2010, but your stock hasn't done anything. meanwhile, oil's going up. are people just saying it's still a nat gas play? what makes people realize you're an oil play? >> what we think is going to happen is as the first and second quarter numbers come out, it'll become obvious that now we're about 60% of our revenue coming from oil by the end of the year will be at 80%. with the rigs we have running now, we're going to add about 250% oil production from 2011 to 201

atlas resource partners has inked an agreement to buy the natgas reserves from carrizo oil & gas. the reserves are located in the texas barnett shale, and the deal is worth just under $200 million. atlas resource partners jumped nearly 32 percent to 28.30. while carizzo rose a modest 1 percent. there was also heavy buying again today in the beleaguered coal sector. consol energy and peabody energy each climbed about 5 percent. ---ots--- meanwhile, analysts at lazard capital urged clients to plant cash in fertilzer stocks as farmers gear up for spring planting. shares of mosaic and potash corp of saskatchewan jumped more than 4 percent. packaging firm rock-tenn was under pressure today, after management warned second quarter earnings would come in below analysts forecasts. maintenance issues at a canadian containerboard mill and pricing pressures on exports are expected to hurt profits. the company predicts earnings won't improve significantly until q-4. that's when major mill projects will be completed and $400 million in cost savings will kick in. shares in rock-tenn lost 4 perce