For the first time since oil starting spilling into the Gulf of Mexico, BP (NYSE:BP) has managed to stop the leak during a test of their new containment cap. The share price of BP skyrocketed by over 7 percent as the news circulated and investors fought to get in on the action before close.
Other oil companies with exposure also moved up on the news, with Anadarko Petroleum (NYSE:APC) and Transocean (NYSE:RIG) also making significant moves before the trading session ended, with Anadarko moving up by 3.15 percent and Transocean by 4.47 percent.
Anadarko and BP kept on moving up in electronic trading.
Testing will continue until it is proven the cap can continue to keep the oil from flowing, which at this time isn't a certainty, although this step had to be successful to continue on.
BP has also said if oil stops flowing into the Gulf, it means the oil well isn't leaking anywhere else, which would be a good sign. That seems to be the case, and soon we'll know if the cap will stop the flow until the relief well is complete and permanently plugs the well.
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