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EQNR Boosts North Sea Prospects With New Troll & Sleipner Discoveries
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Key Takeaways
Equinor makes two North Sea discoveries: Byrding C oil in Troll and Frida Kahlo gas/condensate in Sleipner.
EQNR estimates Byrding C holds 4-8M barrels of recoverable oil in PL 090 HS, where it owns a 75% stake.
EQNR says Frida Kahlo holds 5-9M boe; the well was drilled from Sleipner B with production planned in April.
Equinor ASA (EQNR - Free Report) , a Norwegian energy firm, recently made two new hydrocarbon discoveries in the Troll area and the Sleipner hub in the North Sea, both with commercially viable resources. The company is one of the leading exploration and production players in the North Sea and has mentioned that both discoveries were made in areas with well-connected infrastructure. Equinor stated that it discovered oil in the Troll area and gas and condensate in the area near the Sleipner hub.
Byrding C Oil Discovery Near the Troll Area
The Byrding C oil discovery, made in the Troll area, is estimated to hold approximately 4-8 million barrels of recoverable oil reserves. This discovery is located nearly five kilometers northwest of the Fram field. The Byrding C discovery was made in exploration well 35/11-32 S in the production license (PL) 090 HS, where Equinor holds the largest stake of 75%. The other partner in the license is INPEX Idemitsu Norge AS, which holds the remaining 25%.
Sleipner Discoveries Strengthen Resource Base
The other discovery, namely Frida Kahlo, was made in the Sleipner license and is estimated to contain approximately 5-9 million barrels of oil equivalent (boe) of gas and condensate. The company drilled the well from the Sleipner B platform and plans to bring it into production in April. It has recently made four discoveries in the Sleipner area, which include Lofn, Langemann, Sissel and Frida Kahlo, all of which contain gas and condensate. These discoveries are estimated to hold between 55 million boe and 140 million boe of resources. EQNR holds a 58.3% stake in the Sleipner license, with its partners Orlen Upstream Norway and Vår Energi holding 24.4% and 17.2%, respectively.
Strategic Importance
The company has mentioned that near-field discoveries are crucial to continue steady energy deliveries from the Norwegian Continental Shelf. This allows it to take advantage of the existing infrastructure in the area and reduce production timelines. Equinor will start oil production from the Byrding C discovery using the current or future infrastructure in the region.
The Sleipner area is important for maintaining Equinor’s gas exports to Europe. Sleipner is a mature area for oil and gas exploration, meaning that the largest reserves in the region have already been identified and produced. To continue producing from this region, it is important to identify the remaining resources. EQNR’s recent discoveries are an outcome of the targeted exploration in the region. Since the exploration program has yielded encouraging results, EQNR plans to drill three more exploration wells and two production wells in the area this year.
Archrock is an energy infrastructure company based in the United States with a focus on midstream natural gas compression. It provides natural gas contract compression services and generates stable fee-based revenues. With natural gas playing an increasingly important role in the energy transition journey, AROC is expected to witness sustained demand for its services.
Subsea7 helps build underwater oil and gas fields. It is a leading player in the global offshore energy industry, providing engineering, construction and related services at offshore oil and gas fields. The long-term outlook for energy demand remains positive, and Subsea7’s focus on cost-efficient deepwater projects strengthens the position of its subsea business.
Galp Energia is a Portuguese energy company engaged in exploration and production activities. The company’s oil exploration efforts have yielded positive results, particularly with the Mopane discovery in the Orange Basin, offshore Namibia. This discovery allows Galp to diversify its global presence with the potential to become a significant oil producer in the region.
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EQNR Boosts North Sea Prospects With New Troll & Sleipner Discoveries
Key Takeaways
Equinor ASA (EQNR - Free Report) , a Norwegian energy firm, recently made two new hydrocarbon discoveries in the Troll area and the Sleipner hub in the North Sea, both with commercially viable resources. The company is one of the leading exploration and production players in the North Sea and has mentioned that both discoveries were made in areas with well-connected infrastructure. Equinor stated that it discovered oil in the Troll area and gas and condensate in the area near the Sleipner hub.
Byrding C Oil Discovery Near the Troll Area
The Byrding C oil discovery, made in the Troll area, is estimated to hold approximately 4-8 million barrels of recoverable oil reserves. This discovery is located nearly five kilometers northwest of the Fram field. The Byrding C discovery was made in exploration well 35/11-32 S in the production license (PL) 090 HS, where Equinor holds the largest stake of 75%. The other partner in the license is INPEX Idemitsu Norge AS, which holds the remaining 25%.
Sleipner Discoveries Strengthen Resource Base
The other discovery, namely Frida Kahlo, was made in the Sleipner license and is estimated to contain approximately 5-9 million barrels of oil equivalent (boe) of gas and condensate. The company drilled the well from the Sleipner B platform and plans to bring it into production in April. It has recently made four discoveries in the Sleipner area, which include Lofn, Langemann, Sissel and Frida Kahlo, all of which contain gas and condensate. These discoveries are estimated to hold between 55 million boe and 140 million boe of resources. EQNR holds a 58.3% stake in the Sleipner license, with its partners Orlen Upstream Norway and Vår Energi holding 24.4% and 17.2%, respectively.
Strategic Importance
The company has mentioned that near-field discoveries are crucial to continue steady energy deliveries from the Norwegian Continental Shelf. This allows it to take advantage of the existing infrastructure in the area and reduce production timelines. Equinor will start oil production from the Byrding C discovery using the current or future infrastructure in the region.
The Sleipner area is important for maintaining Equinor’s gas exports to Europe. Sleipner is a mature area for oil and gas exploration, meaning that the largest reserves in the region have already been identified and produced. To continue producing from this region, it is important to identify the remaining resources. EQNR’s recent discoveries are an outcome of the targeted exploration in the region. Since the exploration program has yielded encouraging results, EQNR plans to drill three more exploration wells and two production wells in the area this year.
EQNR’s Zacks Rank and Key Picks
EQNR currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the energy sector are Archrock Inc. (AROC - Free Report) , Subsea7 S.A. (SUBCY - Free Report) and Galp Energia (GLPEY - Free Report) . While Archrock sports a Zacks Rank #1 (Strong Buy), Subsea7 and Galp Energia carry a Zacks Rank #2 (Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.
Archrock is an energy infrastructure company based in the United States with a focus on midstream natural gas compression. It provides natural gas contract compression services and generates stable fee-based revenues. With natural gas playing an increasingly important role in the energy transition journey, AROC is expected to witness sustained demand for its services.
Subsea7 helps build underwater oil and gas fields. It is a leading player in the global offshore energy industry, providing engineering, construction and related services at offshore oil and gas fields. The long-term outlook for energy demand remains positive, and Subsea7’s focus on cost-efficient deepwater projects strengthens the position of its subsea business.
Galp Energia is a Portuguese energy company engaged in exploration and production activities. The company’s oil exploration efforts have yielded positive results, particularly with the Mopane discovery in the Orange Basin, offshore Namibia. This discovery allows Galp to diversify its global presence with the potential to become a significant oil producer in the region.