Since oil production commenced in the Stabroek Block on December 20, last, the shares for Hess Corporation which has a 30 percent stake in the offshore concession, have been on fire says two reputable investment banks.
Specifically, Raymond James Financial’s Muhammed Ghulam and Mizuho Bank’s Paul Sankey noted that the shares climbed to 1.3 percent in today’s trade. The analysts foresee continued gains for the stock in 2020 after it jumped by 65 percent last year.
Ghulam was keen to note that the stock is poised to carry on this trend if it continues to see success from drilling in Guyana and neighboring Suriname. Sankey, in agreement, noted that while much of the success in Guyana is already reflected in the stock price, the company could see further uplift when cash from the development begins to flow in.
Both analysts were keen to remind of the Stabroek block’s amazing streak of success, noting that the operator, ExxonMobil’s subsidiary Esso Exploration and Production Guyana Limited (EEPGL) saw its 15th discovery at the Mako-1 well. It encountered approximately 164 feet (50 meters) of a high-quality oil bearing sandstone reservoir and was drilled in 5,315 feet (1,620 meters) of water.
It was further noted that the Mako-1 is located approximately six miles (10 kilometers) southeast of the Liza field and adds to the previously announced estimated recoverable resource of more than six billion oil-equivalent barrels on the Stabroek Block.
