Exxon extends life of Norwegian gas field Sigyn

< Back to all news

Exxon extends life of Norwegian gas field Sigyn


Category: Energy

Exxon Mobil Corporation recently announced that it has received permission from Norway’s Petroleum Safety Authority to extend the lifetime of its facilities on the Sigyn Field in the North Sea, offshore Norway until 2022.

Located about 12 kilometers southeast of the Sleipner East Field, the Sigyn gas and condensate field is operated by Statoil ASA STO. The field has been developed using subsea templates tied back to the Sleipner A facility.

Production from the field commenced in 2012 and was initially estimated to end in 2017. Per the Norwegian Petroleum Directorate, the Sigyn field’s lifetime could be extended through the addition of new production wells.

Exxon Mobil, the operator of the Sigyn, has stake of 40% in Sigyn. Statoil holds the remaining 60%.

Shares of the company have underperformed the Zacks categorized Oil & Gas-International Integrated industry in the last three months. During the period, Exxon Mobil stock decreased by 6.2%, while the broader industry improved by 2.7%.

Exxon Mobil is the world’s best run integrated oil company based on its track record of high return on capital employed. The strongest return comes from the company’s large scale of operations and diversification benefits. As the largest publicly traded oil company, ExxonMobil has long been a core holding for investors. Its extensive chemical and refining businesses could cushion it in case of a downturn in oil and gas prices.

The company’s strength lies in its balanced operations, strong financial flexibility and continuous efficiency and cost control. The company’s efforts to build an unconventional resource portfolio both in North America and overseas reflect its aim to increase production through higher exposure to large energy resources with long reserve life and low field declines.

Despite the collapse in natural gas prices, Exxon Mobil expects the unconventional gas to play a dominant role in the future supplies owing to the rapid decline in conventional production. The company possesses more than 8 million unconventional acres in North America.

Delek Logistics Partners posted a negative earnings surprise of 25.45% in the preceding quarter. It had an average negative earnings surprise of 11.32% in the four trailing quarters.

Sunrun posted a positive earnings surprise of 137.21% in the preceding quarter. It beat estimates in all the four trailing quarters with an average positive earnings surprise of 134.71%.

A Full-Blown Technological Breakthrough in the Making

Zacks’ Aggressive Growth Strategist Brian Bolan explores autonomous cars in our latest Special Report, Driverless Cars: Your Roadmap to Mega-Profits Today. In addition to who will be selling them and how the auto industry will be impacted, Brian reveals 8 stocks with tremendous gain potential to feed off this phenomenon.

Source: Yahoo