ConocoPhillips to acquire 42% stake in BP's Kirkuk oil fields, shares rise nearly 2%

Eric Volkman, The Motley Fool Fri, July 17, 2026 at 4:56 PM PDT | 2 min read

• COP
• ^GSPC
• BP.L
• NVDA

A major investment in the heart of a key oil-producing region drove ConocoPhillips (NYSE: COP) stock higher on Friday. Shares of the sprawling upstream oil company rose by nearly 2%, easily outpacing the S&P 500 index's 1% decline.

A Potential Gusher

Before market open on Friday, ConocoPhillips announced it had reached an agreement with BP to acquire a 42% stake in the British energy giant's BP Energy Company of Kirkuk in Iraq. The deal gives ConocoPhillips a significant interest in four oil fields located in the Kirkuk region of northern Iraq.

ConocoPhillips stated that the agreement formalizing the transaction is expected to be signed during Iraqi Prime Minister Ali al-Zaidi's current visit to Washington, D.C.

In its press release, the company quoted CEO Ryan Lance as saying:

"This unique redevelopment opportunity is well aligned with our disciplined investment framework, providing access to a material, high-quality and long-life resource base, comfortably meeting our cost of supply threshold."

Black Gold

ConocoPhillips is a pure-play upstream company, meaning its focus is entirely on the exploration and extraction of oil. As such, whenever it gains the opportunity to participate fully or partially in a promising play, it is typically a win.

This is especially true for Kirkuk, which is immense even by the standards of the oil-rich Middle East. While it remains to be seen how the ConocoPhillips/BP relationship within BP Energy of Kirkuk will unfold, this buy-in is almost certain to benefit the American company's operations and financials.

Should You Buy Stock in ConocoPhillips Right Now?

Before you buy stock in ConocoPhillips, consider this:

The Motley Fool Stock Advisor analyst team has identified what they believe are the 10 best stocks for investors to buy now — and ConocoPhillips was not among them. The 10 stocks that made the cut are built for long-term growth and could produce significant returns in the coming years.

Consider when Netflix made this list on December 17, 2004: if you invested $1,000 at the time of the recommendation, you'd have $400,964! Or when Nvidia made this list on April 15, 2005: if you invested $1,000 at the time, you'd have $1,272,955!

With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul.

See the 10 stocks »