) has been awarded interests in seven production licenses in the
Barents Sea in the twenty-second licensing round on the Norwegian
continental shelf (NCS).
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Among the ownership gained in the seven licenses, Statoil will
operate three. Statoil will operate PL713, PL714 and PL615B with
ownership of 40%, 50% and 35%, respectively. The other permits
include PL712, PL717, PL718 and PL720, in which Statoil has a
share of 20% each.
PL713 is an attractive area, which offers opportunities to unlock
a new geological play. PL714 lies adjoining to the Johan Castberg
license from the north and is likely to hold additional resources
for the Johan Castberg area development. Further resources are
expected to contribute towards making the Johan Castberg
development more profitable.
Located in the Hoop frontier area - PL615B - is close to PL615,
where Statoil is projected to drill two exploration wells in
PL712 is in an appealing frontier, while PL717 is situated down
the Johan Castberg trend, north of Johan Castberg. Located in the
western part of the Barents Sea, licenses PL718 and PL720 remain
These licenses, which were considered to be of high priority in
this round, have solidified the company's position in the region
and formed a solid foundation for further growth in the future.
Moreover, Statoil's close co-operation with Rosneft both in the
Norwegian and the Russian parts of the Barents Sea will help in
leveraging the combined experience of operating in frontier
environments of both the companies. Statoil will also continue to
work with Italian explorer,
) - its long-standing partner in the area.
Statoil carries a Zacks Rank #5 (Strong Sell). However, Zacks
Ranked #1 (Strong Buy) stocks -
Gulfmark Offshore, Inc.
) - are expected to perform impressively over the short term.