We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Eni (E) Signs Deal to Divest Nigeria Onshore Assets to Oando
Read MoreHide Full Article
Eni SPA (E - Free Report) entered an agreement to divest its Nigeria-based subsidiary, Nigerian Agip Oil Company (“NAOC”), to local energy solutions provider Oando.
NAOC plays a leading role in the Nigerian energy sector, with a primary focus on onshore oil and gas operations, and power generation. NAOC has participating interests in four onshore blocks and two onshore exploration leases, and runs two power facilities in Nigeria.
The transaction excludes NAOC’s interest in Shell Production Development Company. Eni will hold on to its 5% stake in the joint venture, indicating that the latest move does not imply a complete departure from the Nigeria energy sector. With the divestment, Eni gets closer to its long-term strategy to reduce oil exposure in favor of natural gas.
The acquisition will double Oando’s reserves to 996 million barrels of oil equivalent. The synergies created will unlock exceptional opportunities for Oando to realign expectations, enhance efficiency, optimize resource allocation and significantly increase production.
The acquisition aligns with Oando’s strategy to acquire, enhance, appraise and efficiently develop reserves. It highlights the important roles that indigenous actors will play in the future of the Nigeria upstream sector.
International oil majors are seeking to divest their onshore assets in Nigeria due to oil theft from pipelines and more focused exploration budgets. However, Eni will continue to operate in the country, focusing on offshore operations.
Price Performance
Shares of Eni have outperformed the industry in the past three months. The stock has gained 12.4% compared with the industry’s 7% growth.
Evolution Petroleum Corporation (EPM - Free Report) is an independent energy company. EPM has a Zacks Style Score of A for Growth and B for Value.
Evolution Petroleum has witnessed upward earnings estimate revisions for 2023 and 2024 in the past 60 days. The consensus estimate for EPM’s 2023 and 2024 earnings per share is pegged at $1.11 and $1.08, respectively.
Core Laboratories N.V.’s (CLB - Free Report) strong presence in the emerging shale plays and its global footprint will provide for steady growth rates, going forward. CLB’s technology-heavy portfolio of proprietary products and services gives it the opportunity to optimize production from new and existing fields.
Core Labs has witnessed upward earnings estimate revision for 2023 and 2024 in the past 30 days. The consensus estimate for CLB’s 2023 and 2024 earnings per share is pegged at 88 cents and $1.17, respectively.
Sunoco LP (SUN - Free Report) is among the biggest motor fuel distributors in the United States wholesale market in terms of volumes. For 2023, the partnership expects an adjusted EBITDA of $865-$915 million.
Over the past 30 days, Sunoco has witnessed upward earnings estimate revisions for 2023 and 2024, respectively. The Zacks Consensus Estimate for SUN’s 2023 and 2024 earnings per share is pegged at $4.37 and $3.81, respectively.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Eni (E) Signs Deal to Divest Nigeria Onshore Assets to Oando
Eni SPA (E - Free Report) entered an agreement to divest its Nigeria-based subsidiary, Nigerian Agip Oil Company (“NAOC”), to local energy solutions provider Oando.
NAOC plays a leading role in the Nigerian energy sector, with a primary focus on onshore oil and gas operations, and power generation. NAOC has participating interests in four onshore blocks and two onshore exploration leases, and runs two power facilities in Nigeria.
The transaction excludes NAOC’s interest in Shell Production Development Company. Eni will hold on to its 5% stake in the joint venture, indicating that the latest move does not imply a complete departure from the Nigeria energy sector. With the divestment, Eni gets closer to its long-term strategy to reduce oil exposure in favor of natural gas.
The acquisition will double Oando’s reserves to 996 million barrels of oil equivalent. The synergies created will unlock exceptional opportunities for Oando to realign expectations, enhance efficiency, optimize resource allocation and significantly increase production.
The acquisition aligns with Oando’s strategy to acquire, enhance, appraise and efficiently develop reserves. It highlights the important roles that indigenous actors will play in the future of the Nigeria upstream sector.
International oil majors are seeking to divest their onshore assets in Nigeria due to oil theft from pipelines and more focused exploration budgets. However, Eni will continue to operate in the country, focusing on offshore operations.
Price Performance
Shares of Eni have outperformed the industry in the past three months. The stock has gained 12.4% compared with the industry’s 7% growth.
Image Source: Zacks Investment Research
Zacks Rank & Stocks to Consider
Eni currently carries a Zack Rank #3 (Hold).
Investors interested in the energy sector might look at the following companies that presently carry a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Evolution Petroleum Corporation (EPM - Free Report) is an independent energy company. EPM has a Zacks Style Score of A for Growth and B for Value.
Evolution Petroleum has witnessed upward earnings estimate revisions for 2023 and 2024 in the past 60 days. The consensus estimate for EPM’s 2023 and 2024 earnings per share is pegged at $1.11 and $1.08, respectively.
Core Laboratories N.V.’s (CLB - Free Report) strong presence in the emerging shale plays and its global footprint will provide for steady growth rates, going forward. CLB’s technology-heavy portfolio of proprietary products and services gives it the opportunity to optimize production from new and existing fields.
Core Labs has witnessed upward earnings estimate revision for 2023 and 2024 in the past 30 days. The consensus estimate for CLB’s 2023 and 2024 earnings per share is pegged at 88 cents and $1.17, respectively.
Sunoco LP (SUN - Free Report) is among the biggest motor fuel distributors in the United States wholesale market in terms of volumes. For 2023, the partnership expects an adjusted EBITDA of $865-$915 million.
Over the past 30 days, Sunoco has witnessed upward earnings estimate revisions for 2023 and 2024, respectively. The Zacks Consensus Estimate for SUN’s 2023 and 2024 earnings per share is pegged at $4.37 and $3.81, respectively.