Murphy Oil Says Drilling Has Concluded At The Oso #1 Exploration Well In Atwater Valley 138 In The Gulf Of Mexico; Exploration Expense Guidance For Q4 Revised From $53M To $83M, Including A Net Well Cost Of $64M For Oso
Portfolio Pulse from Benzinga Newsdesk
Murphy Oil announced the completion of drilling at the Oso #1 exploration well in Atwater Valley 138, Gulf of Mexico. The company has revised its Q4 exploration expense guidance from $53M to $83M, which includes a net well cost of $64M for Oso, as per an SEC filing.
January 03, 2024 | 9:39 pm
News sentiment analysis
Sort by:
Descending
NEGATIVE IMPACT
Murphy Oil has finished drilling at the Oso #1 well, leading to an increase in Q4 exploration expenses from $53M to $83M, which includes $64M for the well.
The completion of drilling typically signals the transition to the next phase of evaluation or production, which can be capital intensive. The significant increase in exploration expenses for Q4 could negatively impact investor sentiment in the short term due to higher costs without immediate revenue generation. However, the long-term impact will depend on the results from the well and its potential for commercial viability.
CONFIDENCE 90
IMPORTANCE 75
RELEVANCE 100