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Eni, TotalEnergies Find Gas in Cronos-1 Well Offshore Cyprus

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Eni (E - Free Report)  and TotalEnergies (TTE - Free Report)  made a significant natural gas discovery in the Cronos-1 well off Cyprus’ coast.

In May, Eni and TotalEnergies started drilling activities at the Cronos-1 prospect using Vantage Drilling’s Tungsten Explorer drillship. The well was drilled in Block 6, about 160 kilometers offshore Cyprus.

Cronos-1 is the fourth exploration well drilled by Eni and the second well in Block 6. The latest find follows the Calypso-1 gas discovery made on the same block four years ago.

Eni operates the block with a 50% stake, while TotalEnergies owns the rest. According to preliminary estimates, the find holds 2.5 trillion cubic feet of gas in place, with significant additional potential in the area. Another exploration well is planned to be drilled on Block 6 to explore significant additional resource upside in the area, per TotalEnergies.

The Cronos-1 well encountered an important gas column in a carbonate reservoir sequence of fair to excellent properties, with an overall net pay of more than 260 meters. Studies on fast development opportunities are currently in progress.

The successful exploration well at Cronos-1 demonstrates TotalEnergies’ exploration strategy, which focuses on discovering resources with low technical cost and low carbon emissions, and contributing to energy security.

Eni has been present in Cyprus since 2013 and operates Blocks 2, 3, 6, 8 and 9. The company also has ownership interests in Blocks 7 and 11 operated by TotalEnergies. The Cronos-1 discovery is part of Eni’s attempts to provide further gas supply to Europe. The discovery drives the development of further potential gas volumes in the region.

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Zacks Rank & Other Stock to Consider

Eni currently has a Zack Rank #2 (Buy).

Investors interested in the energy sector might look at the following companies that presently flaunt a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Cenovus Energy Inc. (CVE - Free Report) is a leading integrated energy firm. CVE’s bottom line beat the Zacks Consensus Estimate in two of the prior four quarters and missed the same twice.

Cenovus has witnessed upward earnings estimate revisions for 2022 and 2023 in the past 30 days. The company currently has a Zacks Style Score of A for Growth and B for Value. CVE is expected to see earnings growth of 321% for 2022.

BP plc (BP - Free Report) is a leading integrated energy firm. BP’s bottom line beat the Zacks Consensus Estimate in the prior four quarters, delivering an average earnings surprise of 15.6%.

BP has witnessed upward earnings estimate revisions for 2022 and 2023 in the past 30 days. The company currently has a Zacks Style Score of A for Growth and Value. CVE is expected to see earnings growth of 116.2% for 2022.


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