Equinor ASA EQNR, the Norwegian integrated energy company, has received a drilling permit from the Norwegian Offshore Directorate (NOD) to drill two wildcat wells — 34/6-8 S and 34/6-8 A — in production license (PL) 554.

Equinor holds the operatorship of PL 554, which was awarded in February 2010. EQNR holds a 40% stake in the block with its partners Aker BP and Vår Energi, holding a 30% interest each. The company has hired the Deepsea Atlantic semi-submersible rig from Odjfell Drilling’s fleet to drill the two exploration wells. The drilling activities are scheduled to start in April 2025.

Built in 2009, the Deepsea Atlantic semi-submersible rig is a sixth-generation drillship that is well-suited to operating in deepwater, harsh environments. The rig boasts a GVA 7500 design. Equinor has awarded a contract extension to the rig, which should prolong its stay with the Norwegian energy firm until 2027.

The Deepsea Atlantic rig has worked on several drilling campaigns for Equinor. Recently, EQNR made a gas and condensate find in the “Mistral Sor” exploration well, which was drilled using the same semi-submersible rig in the Norwegian Sea.

EQNR’s Zacks Rank and Key Picks

EQNR currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks from the energy sector are Archrock Inc. AROC, Eni SpA E and NextDecade Corporation NEXT. Archrock currently sports a Zacks Rank #1 (Strong Buy), while Eni and NextDecade carry a Zacks Rank #2 (Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.

Archrock is an energy infrastructure company based in the United States with a focus on midstream natural gas compression. It provides natural gas contract compression services and generates stable fee-based revenues.

Eni is a leading global integrated energy company with a prominent focus on liquefied natural gas businesses. As natural gas has a lesser carbon footprint compared with other fossil fuel, it will play an important role in the global energy transition process. Eni’s participation in the natural gas market will allow it capitalize on the mounting global demand in the future.

NextDecade is an emerging player in the LNG space with its Rio Grande LNG project in Texas. The demand for LNG as a clean burning fuel continues to grow, and the commodity is expected to play a crucial role in the energy transition process. The company’s focus on expanding its liquefaction capacity is expected to enhance its position in the rapidly growing global LNG market, enabling it to meet the rising demand for natural gas.

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