Talos Energy discovers oil at Daenerys exploration prospect

[Oil Rig at late evening]
luismmolina/iStock via Getty Images

Talos Energy (NYSE:TALO [https://seekingalpha.com/symbol/TALO]) +1.8% pre-market Wednesday after announcing successful drilling results [https://seekingalpha.com/pr/20205841-talos-energy-announces-successful-exploration-results-at-daenerys] at its Daenerys exploration prospect located in the U.S. Gulf's Walker Ridge area.

The discovery well, which the company said was completed 12 days ahead of schedule and $16M under budget, was drilled to a total vertical depth of 33,228 ft and encountered oil in several quality sub-salt Miocene sand layers.

Planning is underway for an appraisal well to further define the discovered resource, the company said; in the meantime, the discovery well has been temporarily suspended to preserve its future utility.

"We are encouraged by the results of our Daenerys discovery well, which confirms the presence of hydrocarbons and validates our geologic and geophysical models," Talos Energy (NYSE:TALO [https://seekingalpha.com/symbol/TALO]) President and CEO Paul Goodfellow said.

Talos Energy (TALO [https://seekingalpha.com/symbol/TALO]) is the operator and holds a 27% working interest, with several partners including Shell (SHEL [https://seekingalpha.com/symbol/SHEL]) holding various interests.

MORE ON TALOS ENERGY

* Talos Energy: Why This Overlooked Energy Stock Could Have Big Upside [https://seekingalpha.com/article/4804584-talos-energy-why-this-overlooked-energy-stock-could-have-big-upside]
* Undervalued Gulf Operator: Talos Energy's Fundamentals Outshine Short-Term Oil Noise [https://seekingalpha.com/article/4792476-talos-energys-fundamentals-outshine-short-term-oil-noise]
* Seeking Alpha’s Quant Rating on Talos Energy [https://seekingalpha.com/symbol/TALO/ratings/quant-ratings]