Exxon-led group to move ahead with sixth Guyana offshore project
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 12 2024
0mins
Should l Buy XOM?
Source: SeekingAlpha
- Exxon Mobil Investment Decision: Exxon Mobil has made a final investment decision for the Whiptail development offshore Guyana, which is expected to add around 250,000 barrels per day of oil production capacity by 2027.
- Consortium and Project Details: The project involves an Exxon-led consortium with Hess and Cnooc, aiming to increase Guyana's overall oil production capacity to approximately 1.3 million barrels per day. The $12.7 billion Whiptail project will have multiple drill centers and wells targeting a resource base of over 850 million barrels of oil.
- Vessel Construction: The floating production, storage, and offloading vessel for the Whiptail project, named Jaguar, is being constructed by SBM Offshore.
- Current and Future Developments: Existing developments on the Stabroek Block produce over 640,000 barrels per day, with future projects like Yellowtail and Uaru planned for production startup in 2025 and 2026 respectively.
- Oil Industry Outlook: The news reflects significant investments and expansions in the oil industry, particularly in offshore drilling and production capacities.
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Analyst Views on XOM
Wall Street analysts forecast XOM stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for XOM is 132.17 USD with a low forecast of 114.00 USD and a high forecast of 158.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
19 Analyst Rating
12 Buy
7 Hold
0 Sell
Moderate Buy
Current: 149.050
Low
114.00
Averages
132.17
High
158.00
Current: 149.050
Low
114.00
Averages
132.17
High
158.00
About XOM
Exxon Mobil Corporation is an energy provider and chemical manufacturer. The Company’s principal business involves exploration for, and production of, crude oil and natural gas; the manufacture, trade, transport and sale of crude oil, natural gas, petroleum products, petrochemicals and a wide variety of specialty products; and pursuit of lower-emission and other new business opportunities, including carbon capture and storage, hydrogen, lower-emission fuels, Proxxima systems, carbon materials, and lithium. Its Upstream segment explores for and produces crude oil and natural gas. The Energy Products, Chemical Products, and Specialty Products segments manufacture and sell petroleum products and petrochemicals. Energy Products segment includes fuels, aromatics, and catalysts and licensing. Chemical Products segment consists of olefins, polyolefins, and intermediates. Specialty Products segment includes finished lubricants, basestocks and waxes, synthetics, and elastomers and resins.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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