Cobalt Intl says no oil found in Gulf of Mexico well, shares fall
Aug 19 (Reuters) - Cobalt International Energy Inc said it did not find oil of any commercial value at one of its deepwater wells in the Gulf of Mexico.
The company's shares were down 14 percent on the New York Stock Exchange in early morning trade on Monday.
Howard Weil analyst Jeb Bachmann said many investors had sensed over the past couple of weeks that the well would not strike oil. Bachmann cut his target on the stock by $1 to $44.
The Ardennes 1 exploratory well in Green Canyon Block 896 reached its objective depth of about 36,550 feet but encountered sand, the company said.
Chief Operating Officer Van Whitfield said he was disappointed with the results but remained "excited" about its assets in the Gulf of Mexico.
Cobalt is the operator of the Ardennes well with a 42 percent working interest. ConocoPhillips owns 30 percent in the well and French energy company Total SA has 28 percent.
Shares of the Houston, Texas-based company were trading at $25.13.
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