Norwegian major Statoil ASASTO has struck oil in its Miocene Yeti prospect located in the Gulf of Mexico (GoM).
The Yeti discovery was made in the Walker Ridge (WR) block 160. The WR block 160 is situated about 15 kilometers (9 miles) south of the Big Foot field and 11 kilometers (7 miles) from the Cascade field. In recent years all of the blocks making up Yeti were accessed by the current owners.
The Maersk Developer drilling rig, a sixth generation semi-submersible, was used to drill the Yeti prospect. Yeti achieved a rate of about 123 meters (400 feet) per day. Per Statoil, this is one of the best in drilling efficiency with respect to the wells drilled in WR.
The rig has been transferred and is currently drilling Statoil's Thorvald prospect in the Mississippi Canyon block 814. Statoil, the operator of Yeti, holds a stake of 50%. The other partners, Anadarko and Samson, hold 37.5% and 12.5%, respectively.
Statoil's endeavors to improve recovery of resources in mature fields are commendable. The company has operations in all major hydrocarbon-producing regions of the world, with an emphasis on the Norwegian Continental Shelf (NCS). We believe that Statoil is well positioned to sustain its steady production growth over the next few years on the back of its large resource base at NCS.
Recently, Statoil delivered strong exploration results, adding significantly to its resource base by making several high-impact discoveries. The latest finds give the company access to new regions of Norway, Russia, Azerbaijan, Tanzania as well as Australia, paving the way for long-term growth.
Statoil currently carries a Zacks Rank #3 (Hold).
Better-ranked stocks from the oil and gas sector include Phillips 66 Partners L.P. PSXP , Western Gas Equity Partners, L.P WGP and Hallador Energy Company HNRG . Each of these stocks sports a Zacks Rank #1 (Strong Buy).
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