Back to top

Analyst Blog

Chinese oil giant CNOOC Limited (CEO - Analyst Report) has made a mid-sized natural gas discovery – Bozhong 22-1 – in Bohai recently.

Located in the south central Bohai, Bozhong 22-1 lies in average water depth of about 25 meters. Drilled and completed at a depth of 4,611 meters, the discovery well, hit a gas reservoir with a total thickness of about 9 meters.

The well was tested at gas production of about 142 million cubic feet per day. The latest find at Bozhong 22-1 validates the prospects of buried hills for future gas exploration of the south slope in Bozhong Sag.

Recently, the company discovered a 55-meter gas reservoir at Lingshui 17-2-1 probe in South China Sea. The discovery marked the first breakthrough on the independent deepwater exploration in the South China Sea’s Qiongdongnan basin.

CNOOC is one of the three leading oil companies in China and one of the largest independent oil and gas exploration and production companies of the world. It is China’s dominant producer of offshore crude oil and natural gas and engages in the exploration, development, production, and sale of crude oil, natural gas, and other petroleum products. CNOOC Ltd. is the only company permitted to conduct exploration and production activities with international oil and gas companies off the shores of China.

We remain positive on CNOOC’s performance, which reflects its premium assets portfolio, excellent execution strategy, unique position as a pure oil player and potential transactions in the merger and acquisition space.

CNOOC’s growth profile should get a boost over the next 3 to 5 years from numerous development projects offshore China, international growth from recent acquisitions, and intensive exploration and development programs with its partners.
 
CNOOC currently carries a Zacks Rank #4 (Sell). However, there are Zacks Ranked #1 (Strong Buy) stocks in the oil and gas sector – Helmerich & Payne, Inc. (HP - Analyst Report), Valero Energy Corporation (VLO - Analyst Report) and Patterson-UTI Energy Inc. (PTEN - Analyst Report) – that appear rewarding for the short term.
 

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
TRIQUINT SE… TQNT 20.67 +6.52%
RF MICRO DE… RFMD 12.47 +6.04%
VASCO DATA… VDSI 14.77 +4.68%
BANCO DO BR… BDORY 15.53 +3.95%
STRATTEC SE… STRT 80.24 +3.00%