Apache Corporation and Total S.A. have made a “significant” oil discovery off the coast of Suriname – the second in the region in less than a month.
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Shares of Houston-based Apache soared on the news and were on track for their biggest daily gain since September 1973. Paris-based Total was little changed.
“Preliminary formation evaluation data indicates the potential for prolific oil wells,” Apache CEO and President John Christmann said in a statement about the discovery at the Maka Central-1 well. “Additionally, the size of the stratigraphic feature, as defined by 3-D seismic imaging, suggests a substantial resource.”
Apache and Total, which each hold a 50 percent stake in the well, do not yet know how much oil is located at the well.
Block 58, where the well is located, comprises 1.4 million acres and has “significant potential beyond the discovery at Maka Central,” Christmann said.
The finding was made less than a month after rival ExxonMobil announced a discovery in neighboring Guyana which could yield as many as 6 billion barrels of oil and gas.
Apache shares fell 2.5 percent in 2019 while Total was up 6.5 percent.