Back to top

Image: Bigstock

ExxonMobil's Muruk-1 Sidetrack Well Yields Positive Results

Read MoreHide Full Article

ExxonMobil Corporation (XOM - Free Report) recently came up with positive drilling results on the Muruk-1 sidetrack well in the Papua New Guinea (“PNG”) North Highlands.

Located 13 miles (21 kilometers) northwest of the Hides gas field, the Muruk-1 sidetrack well hit high-quality sandstone reservoirs southwest of the Muruk-1 natural gas discovery, which was announced in late 2016. The sidetrack well has been drilled to a total depth of 13,550 feet (4,130 meters).

ExxonMobil has a well-established history of exploring, developing and commercializing assets in PNG.

Petroleum prospecting license 402 spans across an acreage of 126,000 (510 square kilometers) in the PNG Highlands. Drilling of the Muruk-1 well was started by Oil Search, the operator, on Nov 2, 2016.

Other partners in the license are ExxonMobil, Oil Search Limited and Barracuda Limited, a subsidiary of Santos Limited, (subject to regulatory approval), holding 42.5%, 37.5% and 20%, respectively.

This discovery proves the extent of the Muruk area and further establishes it as a potentially major new discovery with the same high-quality sandstone reservoirs as the Hides field that supports the PNG LNG project.

ExxonMobil’s strength is exhibited by the diversity of its onshore and offshore portfolio. The company’s long-term investment approach and the opportunities to grow its business in PNG is reinforced through the success this drilling initiative.

However, ExxonMobil’s share price chart is unimpressive. Shares of the company gained 1.2% in the last three months, while the Zacks categorized Oil & Gas – International Integrated industry registered an increase of 2% in the same time span.



Williams Partners currently has a Zacks Rank #2 (Buy). Other stocks from the same space that warrant a look are SunCoke Energy, Inc. (SXC - Free Report) , Exterran Corp. and Canadian Natural Resources Limited Ltd. (CNQ - Free Report) . All these stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

SunCoke Energy posted a positive earnings surprise of 120.0% in the preceding quarter. The company beat estimates in two of the four trailing quarters with an average negative earnings surprise of 35.78%.

Exterran posted a positive earnings surprise of 123.21% in the year-ago quarter.

Canadian Natural Resources posted a positive earnings surprise of 30.77% in the preceding quarter. It surpassed estimates in two of the four trailing quarters with an average negative earnings surprise of 275.46%.

"5 Trades Could Profit "Big-League" from Trump Policies

If the stocks above spark your interest, wait until you look into companies primed to make substantial gains from Washington's changing course.

Today Zacks reveals 5 tickers that could benefit from new trends like streamlined drug approvals, tariffs, lower taxes, higher interest rates, and spending surges in defense and infrastructure. See these buy recommendations now >>


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Exxon Mobil Corporation (XOM) - free report >>

Canadian Natural Resources Limited (CNQ) - free report >>

SunCoke Energy, Inc. (SXC) - free report >>

Published in