Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of oil explorer Cobalt International Energy
So what: Cobalt and six other oil companies signed contracts for blocks in Angola's pre-salt ultra-deepwater fields, believed to be similar to what has been discovered off Brazil's coast. The company will be the operator of Block 20 with a 40% working interest, partnering with Sonangol Pesquisa e Producao S.A. (30%), BP Exploration Angola (20%), and China Sonangol International (10%).
Now what: If this field is as big and successful as some believe, the company will be in a prime position with Block 9, Block 21, and now Block 20. The company is planning to drill its first well in 2013, and after finding encouraging results in Block 21, production should expand. Other firms such as Statoil
Interested in more info on Cobalt International Energy? Add it to your watchlist by clicking here.
Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.
Motley Fool newsletter services have recommended buying shares of Statoil A and Total. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
More from The Motley Fool
Why Chuy's Holdings, Cobalt International Energy, and Chicago Bridge & Iron Slumped Today
On a mixed day for the stock market, these stocks fell. Find out why.
Cobalt International Energy, Inc. Continued to Plunge In January
The offshore oilfield developer’s stock continued sinking despite some pretty good news.
Cobalt International Energy, Inc.'s 77.3% Plunge in 2016 May Just Be the Beginning
The offshore oilfield developer is burning through cash.