Schlumberger wins extensive service contract for Uganda oil development

dgdimension/iStock via Getty Images

Schlumberger (NYSE:SLB) +2.3% pre-market after saying it was awarded an extensive contract for drilling, completions and production services by TotalEnergies (NYSE:TTE) for its Tilenga onshore oil development in Uganda.

Schlumberger says the scope of the contract includes the provision of directional drilling services, upper completions, lower completions, artificial lift solutions and wellheads for the Tilenga development, which consists of six fields with up to 426 wells, to be developed across 31 wellpads.

Schlumberger surged 8% in Monday's trading after Bank of America said the stock's prior weakness was unwarranted, since the company will be under much less pressure to fully exit Russia given the "transactional nature" of its Russian business.

Comments

[WoozyTrend]

Call it what you want, but they have a large amount of business in Russia. And, they are the premier oil service company, but even the French may have to step away from Russia.

[dlevine007]

I think that SLB is just getting started. I know they are a smaller company than during the last big up cycle but I could see $70-80
A share

[LiveFreeAZ]

Would expect new drilling everywhere except Russia and US. US after 11/24.

[cenc]

long SLB. someone is going to drill something.

[Convoluted]

I commented a few weeks ago that this stock is the most undervalued in the Cosmos. I will allow, however, that in an infinite universe, it must be the case that it’s trading at $90 somewhere.