Oil Majors Offload Gulf of Mexico Fields to Hunt Bigger Finds

Oil Majors Offload Gulf of Mexico Fields to Hunt Bigger Finds
Big Oil is giving up looking for singles and doubles in the Gulf of Mexico: Now it's home runs or bust.

As such, explorers are moving deeper into the Gulf in the hunt for big new discoveries. Some 25 rigs are under contract in the deepest waters compared with 12 in shallower seas, Evercore ISI said in a note last month. But to make big discoveries in the deep, it helps not to be weighed down by older assets elsewhere.

“It’s about selling assets that still have some meat on bone,” said Imran Khan, an analyst at Wood Mackenzie. “Then you can focus on your core portfolio.”

With assistance from Sabrina Valle.To contact the reporters on this story: Kevin Crowley in Houston at kcrowley1@bloomberg.net; David Wethe in Houston at dwethe@bloomberg.net. To contact the editors responsible for this story: Simon Casey at scasey4@bloomberg.net Joe Carroll, Christine Buurma.


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