Energy Business Review: Transocean Pops on Deal, Exxon Mobil Project Stops

A property compensation dispute between local residents in Papua New Guinea and Exxon Mobil (NYSE:XOM) stops construction at a LNG project. Completion and operation of the project, the largest of its kind ever undertaken there, could raise the country’s GDP by 20 percent.

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Offshore driller Transocean’s (NYSE:RIG) shares pop on news that it has obtained a deal that will provide it with a whopping rent of $650 thousand per day for one of its rigs. Susquehannah remarks that this is “the highest dayrate we have seen in the current upcycle”, and that the reversal of fortunes for the firm is “particularly encouraging,” since its prior contract had been cancelled in January due to non-performance.

A location near Pittsburgh which has an excess supply of natural gas, is selected by Shell (NYSE:RDSA) for a chemical plant. The time frame is open, however, as studies pertaining to continued gas supply, plus engineering and environmental aspects of the project must precede construction.

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Carrizo Oil & Gas (NASDAQ:CRZO) is selling Barnett Shale properties to Atlas Resource Partners (NYSE:ARP) for around $190 million in a cash deal. Meanwhile, Atlas ups its distribution forecast for the second half of 2012 to $0.85 to $0.90 per limited partner unit. Its previous outlook had stood at $0.80.

Kosmos Energy (NYSE:KOS) had already earned the industry spotlight as it discovered Ghana’s massive offshore Jubilee field, and now the company reports that it has hit “substantial” light oil in multiple good quality reservoirs at the Enyenra-4A well, which is also offshore Ghana. Shares soar accordingly Friday.

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To contact the reporter on this story: Mark Lawson at

To contact the editor responsible for this story: Damien Hoffman at