Shares of Helix Energy Solutions Group (NYSE:HLX) ended with marginal gains on Tuesday. Here is why.
On Monday, HLX stock moved up 2.1% to $3.33 with more than 2.66 million, compared to its average volume of 1.40 million shares. The stock has moved within a range of $3.2800 – 3.4700 after opening trade at $3.28.
5-Well Complete Abandonment Contract Offshore New Zealand Awarded
International offshore energy services company, Helix Energy Solutions Group (NYSE:HLX), based in Houston, Texas, has landed a -well complete abandonment project by New Zealand’s Ministry of Business, Innovation & Employment. The project involves the Helix Q7000 and 10K Intervention Riser System (IRS).
The Q7000 is expected to be mobilized in the later part of 2022, to the Tui Field, offshore New Plymouth. It will perform in three phases, including well abandonment, recovery of XTs and wellhead severance and recovery. Barring mobilization, the project is set to be completed in around 60 days.
Integrated with an IMO-certified DP3 system and the Helix-designed IRS, the Q7000 can carry out well intervention and decommissioning operations in water depths ranging from 85m to 3,000m. It has an open deck plan and tri-axial configuration, which makes it capable of performing a vast range of production enhancement operations, along with cleanup of wells and supporting field development. It can also be used for well decommissioning, including suspension, tubing removal, tree recovery and sea floor clearance.
David Carr, Senior Vice President – International for Helix Well Ops, said that this award, right after their award with Cooper Energy, proves that an integrated vessel package like the Q7000 can conveniently deal of several subsea decommissioning challenges.
HLX stock is trading above the 50-Day and 200-Day Moving averages of $3.76 and $3.96 respectively. However, the stock is below the 200-Day moving average of $4.67. The stock is down 19% in the past month.