Gerdes Energy Research raises PT on U.S. oil and gas producer Conocophillips to $140 from $132, maintains “buy” rating. Integration of Alaskan Willow project increases COP’s market value approximately 6%, the brokerage says.
Willow project contemplates ~200 wells (three drill sites) and a central processing facility with ~180,000 barrels of oil per day of production capacity. The brokerage estimates project capital cost is $7 billion-$7.5 billion, with first oil anticipated in 2029.
From 2023 through 2027, COP should generate ~$49.25 bln of free cash flow, and 19 of 26 brokerages rate the stock “buy” or higher, 7 “hold”; median PT is $132.35.