Apache exploration update provides limited detail, says Goldman Sachs
Goldman Sachs analyst Brian Singer says Apache's update this morning regarding the status of Maka Central #1, its first exploratory well in Block 58 in offshore Suriname, provided limited detail. The stock in morning trading is down 13% to $19.37. Investors have been looking for evidence of medium or light oil exploration success in Suriname to become positive, Singer tells investors in a research note. However, today's update does not provide any clarity on encountered hydrocarbons, with results from the testing of two Upper Cretaceous zones as well as results from a third deeper zone still pending, adds the analyst. He keeps a Neutral rating on Apache shares with a 12-month price target of $23.50.