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British energy giant BP plc (BP - Analyst Report) has awarded a five-year, multi-million pound contract to energy services company Wood Group ODL, effective Jan 2014.

Per the terms of the contract, Wood Group ODL will offer document control and information management services for BP’s North Sea business. This contract, which deepens the 11-year tie between BP and Wood Group ODL, was awarded through a competitive tender process.

Wood Group ODL – a Wood Group PSN business – also manages other contracts with BP globally to provide operations procedure manuals and training and competency assessments.

Recently, BP along with its partner ConocoPhillips (COP - Analyst Report) made a huge find at its Gila prospect, in the deepwater U.S. Gulf of Mexico. The discovery represents the first major find by BP since the massive rig outburst that caused the worst environmental tragedy in the U.S. history. After the Macondo well blowout, the U.S. regulators lifted a five-month ban on deepwater drilling in 2010. The latest find is the third discovery in recent years in the emerging Paleogene trend in the Gulf. The previous finds were Kaskida in 2006 and Tiber in 2009.

BP has a strong pipeline of projects and expects four additional upstream ventures to commence by the end of 2013. Of these, Angolan LNG and Atlantis North Expansion commenced operations in the first half of 2013, while Australia-North Rankin phase 2 and Azerbaijan-Chirag are on track to start production in the second half. Six more project start-ups are expected by next year. Altogether, BP has about 50 major assignments through the decade. Of these, 11 involve more than $10 billion in total cost. The latest contract will come handy in view of its vast contract pipeline.

BP carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the oil and gas sector include Blueknight Energy Partners, L.P (BKEP - Snapshot Report) and Tesco Corp. (TESO - Snapshot Report). All these stocks hold a Zacks Rank #1 (Strong Buy).
 

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