Back to top

Analyst Blog

Oilfield services company Oceaneering International Inc. (OII - Snapshot Report) has entered into a deal with U.S. energy behemoth, ExxonMobil Corporation (XOM - Analyst Report), to purvey a production control umbilical.

Per the agreement, Oceaneering will provide an electro-hydraulic, steel tube umbilical for the development of the Julia oil field, which is based in the Gulf of Mexico. The umbilical has a total length of roughly 22.5 kilometers.

Oceaneering is planning to manufacture the product at its facility located in Panama City, Florida. The delivery is projected to be in the first half of 2015.

Oceaneering added that the umbilical is expected to provide electrical power signals, hydraulic control fluids and chemicals, for operating and monitoring the subsea wells and manifold in the oil field.

Last month, Oceaneering inked a deal with Italian oil and gas contractor Saipem to provide ten subsea production control umbilicals and two electrical power cables for the development of the Burullus West Delta Deep Marine Phase IXa project, which is based offshore Egypt.

Houston, Texas-based Oceaneering primarily serves the global offshore oilfield industry by providing engineered products and services. The company also offers inspection works, subsea products and services. Moreover, Oceaneering provides technological skills to the aerospace and defense sectors.

Oceaneering currently carries a Zacks Rank #3 (Hold), implying that it is expected to perform in line with the broader U.S. equity market over the next one to three months.

However, in the oilfield services sector, two firms that are expected to significantly outperform the broader U.S. equity market over the next one to three months are Exterran Holdings Inc. (EXH - Snapshot Report) and Dawson Geophysical Company (DWSN - Snapshot Report). Both the firms currently retain a Zacks Rank #1 (Strong Buy).
 

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
RPC INC RES 24.91 +8.35%
LITHIA MOTO… LAD 94.59 +4.60%
DELTA AIR L… DAL 39.15 +3.90%
FLAMEL TECH… FLML 14.51 +3.50%
SOUTHWEST A… LUV 28.87 +2.92%