Back to top

Image: Bigstock

ConocoPhillips (COP) Finds New Oil in the Norwegian Sea

Read MoreHide Full Article

ConocoPhillips (COP - Free Report) announced the latest oil discovery in the North Sea’s Norwegian part.

The oil was found on the Slagugle prospect, situated 14 miles north-northeast of the Heidrun field in the Norwegian Sea. The discovery was made in production licence 891, wherein ConocoPhillips is the operator with an 80% participating interest, while its partner Pandion Energy holds the remaining 20%.

It is to be noted that this is the first exploration well in PL-891. The 6507/5-10 discovery well was drilled 1,165 feet vertically to a total depth of 7,149 feet below the sea surface with the help of the Leiv Eiriksson semi-submersible drilling rig. The oil major has conducted extensive data collection and sampling in the discovery well, and expects future analysis to determine the flow rates, the well’s ultimate resource recovery as well as potential development solutions.

The Houston-based company mentioned that the size of the discovery is placed within 75-200 million barrels of recoverable oil equivalent on the basis of tentative estimates. Importantly, the licensees will evaluate the outcomes of the discovery and other nearby prospects in order to determine the future appraisal, as well as potential development of the existing infrastructure in the area.

On its part, ConocoPhillips’ significant discovery marks the fourth successful oil find on the Norwegian Continental Shelf over the past 16 months. It has retained its position as an active industry operator and partner across the North Sea and Norwegian Sea.

Company Profile & Price Performance

Headquartered in Houston, TX, ConocoPhillips is a leading upstream energy company. The company’s shares have underperformed the industry in the past three months. Its stock has gained 18.9% compared with the industry’s 41.6% growth.

Zacks Rank & Stocks to Consider

ConocoPhillips currently carries a Zack Rank #4 (Sell).

Some better-ranked players in the energy space include Delek Logistics Partners, L.P. (DKL - Free Report) , DCP Midstream Partners, LP (DCP - Free Report) , and Altus Midstream Company (ALTM - Free Report) , each currently sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

In the past 60 days, the Zacks Consensus Estimate for Delek Logistics’ 2020 earnings has been raised 11.3%.

DCP Midstream and Altus Midstream are expected to see earnings growth of 202.4% and 364.4%, respectively, in the next year.

Just Released: Zacks’ 7 Best Stocks for Today

Experts extracted 7 stocks from the list of 220 Zacks Rank #1 Strong Buys that has beaten the market more than 2X over with a stunning average gain of +24.4% per year.

These 7 were selected because of their superior potential for immediate breakout.

See these time-sensitive tickers now >>