One of the largest oilfield service providers, Halliburton Co. (HAL) has entered a technological co-operation agreement with Russia based oil firm, Gazprom Neft, to improve field efficiency of the latter.
The collaboration includes information exchange whereby the Russian partner will offer data on implementation and Halliburton experts will provide technological solutions. The agreement is expected to offer solutions for hard-to-recover reserves, unconventional resources, deepwater and other projects.
By 2020, Gazprom Neft, an integrated oil company controlled by the Russian gas behemoth OAO Gazprom, plans to increase its annual hydrocarbon production to 100 million metric tons of oil equivalent to compensate the dwindling output of the Soviet-era fields. Management believes that use of new technologies will contribute more than half of the said production levels.
Halliburton believes in enhancing its capabilities and providing efficient solutions to its customers. Accordingly, this Houston-based oilfield service provider invests substantially in research and development for new technologies related to exploration and production of hydrocarbons.
Established in 1919, Halliburton offers a variety of equipment, maintenance and engineering and construction services to the energy, industrial and government sectors. The company operates under two main segments: Completion and Production and Drilling and Evaluation.
Halliburton currently holds a Zacks Rank #3 (Hold), implying that it is expected to perform in line with the broader U.S. equity market over the next one to three months.
Meanwhile, one can look at other stocks in the oil field services industry such as Emerge Energy Services LP Commo (EMES), Gulfmark Offshore, Inc. (GLF) and Unit Corporation (UNT) as good buying options. All these stocks currently hold a Zacks Rank #2 (Buy).
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