Cramer's back, and he's got another oil stock that just might make you some serious cash.

I'm talking about oil.  Because oil is getting more, not less, expensive!  And wall street is, as is often the case, behind the curve!

I've given you OXY, because it's the most levered to high crude price.  But there's another way to play this.

Because we don't just want guys who have a lot of crude in the ground.  We want guys who are out there wildcatting!  That means drilling for oil in places where no significant oil has been discovered.  Risky business - but, man, can it be lucrative.

We need an oil company. That's still out there drilling.  A company with new prospects; a company that's finding a lot of oil.  A company that's still growing.

We need Energy Partners (EPL)!

Just last night, while you and I were sleeping, these guys were drilling in the gulf of Mexico, and they hit paydirt!

At 23,365 feet underwater - deep, deep drilling.

EPL is going out there and finding new oil, and I salute them!

OXY's levered to the price of crude.  EPL is the co. Most levered to finding new oil.  And there's nothing more important right now to finding new oil.

Now, EPL estimates this could add almost 10% to the reserve base.  That ratchet's up how much we should pay for this stock, don't you think?  This is huge people!

Did you see the stock, EPL, do anything?  I didn't.  In fact, it was down 51 cents today.  People don't like these stocks now.

If I were at my hedge fund, I would be all over this stock!  Buy, buy, buy!

Last year, EPL had an 88% success rate with its drilling; 52 completed projects.  These guys know how to do the job.

Pretty darn good rate and, if they can keep that up, this stock should soar!

You're also getting a great deal here.  One of the things we do on wall street that's really stupid is we look at how last year vs. this year was.  We never look at what was the matter last year.

See, Katrina and Rita forced EPL to shut down a pretty significant portion of its portfolio last year.  Now, those two hurricanes are one-off things.  They did not permanently damage the co.  They don't matter anymore to EPL in the long run.

And, yet, because of those two hurricanes, EPL is trading - frankly, I find this unbelievable - it's trading almost exactly where it was 12 months ago.   12 months ago, crude was trading below $50 a barrel.

Today, oil prices are almost $20 higher.  Quizzical, huh?  EPL has done almost nothing.  That's why we need to buy, buy, buy!

I think that you have one of the greatest buying opportunities that I've seen since I started Mad Money.

Now, when you get a stock that's as undervalued as EPL right now, that's a co. That I think frankly, if it doesn't get up on earnings, will face a takeover.

On Jim Cramer's Mad Money, we never recommend a takeover stock - Hey, Real Money [Referring to his book, Real Money - ed.]... same deal - unless the fundamentals are good enough, and boy do we have it.

So, is EPL an attractive target?  Raymond James thinks that they could do $12.50 a share in cash flow this year.  That gives them a cash flow multiple of just 2.6.  If we discount that number by 15% - I'm being conservative, see, I'm giving you a conservative case - that gives us $10.60 a share.  Which means it's trading at 3.1x cash flow.

The reason I bring all that up, is that's it's dramatically cheaper than what Remington is going out from Helix.

Let me give you the bottom line:  there's tremendous demand for companies that are still finding fresh oil and, for that, you need to go to EPL!  I think that either investors will take the stock up, or a bigger oil company, in need of growth, could take it out at a big premium.  Either way, Mad Money's in store for shareholders of EPL!    

Todays Stories:

'Oil's Well' -Jim discusses Hurricanes' Katrina and Rita, thier effect on the crude oil business and why you should look at Occidental Petroleum (OXY), an exploration and production company. 

'You Know The Drill' - A continuation of the above topic, crude oil.  This dissussion focuses on Energy Partners (EPL).

'Chipping Away'- Jim tells you why he, a long time Intel fan, now sees Advanced Micro Devices (AMD) as the microchip company to own.

Lightning Round