NEW YORK (TheStreet) -- Shares of Exxon Mobil (XOM) are gaining, higher by 0.84% to $87.64 on heavy volume in afternoon trading Tuesday, after the oil company teamed up with ConocoPhillips (COP) and Suncor Energy (SU) to offer a combined $559 million for exploration rights in the deep-water Flemish Pass.
The bid is the largest-ever for a license in Canada's Newfoundland and Labrador province, where Statoil (STO) announced its big Bay du Nord find last year.
Bay du Nord is estimated to contain up to 600 million barrels of light, sweet crude.
About 14.37 million shares of Exxon Mobil traded hands as of 2:02 p.m., compared to its average trading volume of about 14.3 million shares a day.
Separately, TheStreet Ratings team rates EXXON MOBIL CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate EXXON MOBIL CORP (XOM) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its attractive valuation levels, largely solid financial position with reasonable debt levels by most measures, growth in earnings per share and increase in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow."