Murphy Oil Corporation (NYSE: MUR) has announced an oil discovery at the Hai Su Vang-1X exploration well in Block 15-2/17 in the Cuu Long Basin, located 40 miles offshore Vietnam. The well was drilled to a total depth of 13,124 feet in 149 feet of water and encountered approximately 370 feet of net oil pay from two reservoirs.
Murphy's subsidiary, Murphy Cuu Long Tay Oil Co., Ltd., is the operator of the block with a 40 percent working interest. PetroVietnam Exploration Production Corporation Ltd. holds a 35 percent working interest, and SK Earthon Co., Ltd. holds the remaining 25 percent.
The company's president and CEO, Eric M. Hambly, expressed his pleasure with the success of the exploration well and emphasized that this discovery adds further upside to their current Vietnam business.
A key metric to note is the net oil pay of approximately 370 feet from two reservoirs encountered at the Hai Su Vang-1X well. This represents a significant milestone for Murphy Oil Corporation's exploration efforts in the Cuu Long Basin.
The company highlighted that additional evaluation is ongoing, and future appraisal drilling will be conducted to further assess the potential of the discovery. This suggests a commitment to extracting maximum value from the newly discovered resources.
Furthermore, this discovery could form the basis for future development of the Hai Su Vang field, signaling potential long-term growth and development prospects for Murphy Oil Corporation in the region.
As a business and finance journalist, these specific metrics provide insight into the tangible impact of the oil discovery on Murphy Oil Corporation's operations and future prospects in Vietnam. Following these announcements, the company's shares moved 2.0%, and are now trading at a price of $32.27. For the full picture, make sure to review Murphy Oil's 8-K report.
