Back to top

Analyst Blog

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at support@zacks.com or call 800-767-3771 ext.  9339.

Chevron Australia Pty Ltd – an affiliate of Chevron Corporation (CVX - Analyst Report) – announced the discovery of natural gas in Satyr-4 exploration well in the Greater Gorgon Area, offshore Western Australia.

Located in the WA-374-P1 permit block in the Carnarvon Basin, the well is estimated to hold approximately 220 feet of net gas pay. The well, about 75 miles to the northwest of Barrow Island, was drilled 3,570 feet deep into water and to a total depth of 15,023 feet.

The Australian unit of Chevron acts as the chief operator of the block with 50% interest, while the remaining stake is shared equally by Royal Dutch Shell plc (RDS.A - Analyst Report) and Exxon Mobil Corporation (XOM - Analyst Report).

We believe that this exploration success will boost Chevron’s growth prospects in Australia by adding to its already significant gas interests in the country.

Earlier in September, the company announced the discovery of natural gas in Satyr-2 exploration well in the Greater Gorgon Area, which marked Chevron’s fifteenth find in the country since mid-2009.

In particular, the drilling success of the Satyr-4 exploration well is expected to support an expansion of the Chevron-operated multi-billion Gorgon liquefied natural gas (LNG) project.

The Gorgon gas fields, off the coast of Western Australia, are estimated to contain 40 trillion cubic feet of gas deposits with an expected economic life of at least 40 years from the time of start-up. According to Chevron, the venture will have an annual capacity to produce 15 million tons of LNG, with the first shipment expected in 2014.

We believe that successful drilling activities along with these prominent projects will establish Chevron as a leader among natural gas and LNG suppliers in the Asia-Pacific belt.

Chevron currently holds a Zacks #3 Rank (short-term Hold rating). We also maintain a long-term Neutral recommendation on the stock.

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

Learn more

Start for as little as $4.50 per trade.

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
BITAUTO HOLD BITA 35.33 +14.82%
ANI PHARMACE ANIP 24.79 +14.66%
E-HOUSE CHIN EJ 10.99 +9.24%
CANADIAN SOL CSIQ 26.97 +7.15%
INTL CONS AI ICAGY 33.30 +5.38%