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Equinor Hits Gas & Condensate in Atlantis Exploration Well

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Equinor ASA (EQNR - Free Report) announced that along with partners, it has been successful in finding natural gas and condensate at the 30/2-5 S Atlantis exploration well on the Kvitebjørn Field in North Sea.

The drilling of the exploration well took place across more than 17 kilometres to the south of the Kvitebjørn Field using West Hercules drilling rig. Based on preliminary estimates, the discovery at exploration well, which intended to ascertain the presence of hydrocarbons in the Middle Jurassic reservoir of the Brent Group has proven reserves of 3-10 million standard cubic metres of recoverable oil equivalent.

Drilled at a vertical depth of 14,301 feet below sea level with water level as deep as 465 feet in the area, 30/2-5 S Atlantis marks the first exploration well to be drilled in production license 878. The license was awarded in the Awards in Predefined Areas 2016 (APA 2016). Equinor owns a 60% stake in the license while Source Energy and Wellesley Petroleum have 20% partnership interests each.

Per Nick Ashton, Equinor’s senior vice president for exploration in Norway and the U.K., continued discovery of more resources in one of the most mature areas on the Norwegian continental shelf seems quite encouraging for the company. It will now focus on evaluating a profitable, carbon dioxide-efficient recovery.

In April 2020, this Norway-based energy player found oil in the Monument exploration well, located in the central U.S. Gulf of Mexico (GoM). This is the company’s first operated exploration well in the region within a span of five years.

The exploration well was drilled with the help of the Pacific Khamsin rig at a water depth of 10,164 meters. It encountered around 60 meters of net oil pay, providing early indications of the productive reservoir, belonging to the Paleogene sandstone. The company plans further appraisal drillings at the site to gauge the full potential of its finding.

Zacks Rank & Stocks to Consider

Equinor currently has a Zacks Rank #3 (Hold). Some better-ranked stocks in the energy sector are TC Energy Corporation (TRP - Free Report) , Bloom Energy Corporation (BE - Free Report) and Chevron Corporation (CVX - Free Report) , each presently holding a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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