Shell PLC has made a closing funding choice to proceed with a waterflood oil restoration challenge on the Kaikias discipline on the USA facet of the Gulf of America.
“Water shall be injected to displace extra oil in the reservoir formation which provides manufacturing to Shell’s Ursa platform within the Mars Hall”, the British firm mentioned.
“First injection is predicted in 2028 and is anticipated to prolong the manufacturing lifecycle of Ursa by a number of years”, Shell added.
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Shell owns 100% of Kaikias, found 2014 in waters over 4,000 toes and about 130 miles off the Louisiana coast in accordance with the corporate.
The sector began manufacturing 2018 via the Ursa pressure leg platform, which Shell operates with a 61.35 % stake. BP PLC holds 22.69 % and ECP GOM III LLC 15.96 %.
Shell upstream president Peter Costello mentioned, “Following our choice to improve our stake in Ursa earlier this 12 months, this extra funding continues to maximise the worth of the asset. It additionally contributes to our purpose of maximizing high-margin manufacturing and longevity in a core basin to take care of liquids manufacturing”.
The stake improve was a part of Shell’s $735 million acquisitions within the Gulf from ConocoPhillips that have been accomplished within the second quarter. Shell acquired extra stakes of 15.96 % in Ursa, one % within the Europa prospect and 11.81 % in Ursa Oil Pipeline Co – all operated by Shell.
“This acquisition is a part of Shell’s technique to put money into worthwhile and carbon-competitive oil and gasoline initiatives with a robust built-in worth chain”, Shell mentioned in a press release Could 1 saying the completion of the transaction.
“Deepening Shell’s curiosity in current belongings additionally contributes to sustaining secure liquids manufacturing from its advantaged upstream enterprise”.
Elsewhere within the Gulf, Shell earlier this 12 months put onstream a second tieback to the Appomattox manufacturing hub. Dover, found 2018 within the Norphlet play, contributes 20,000 barrels of oil equal a day (boed) at peak, in accordance with a press release by Shell April 8. Shell owns 100% of Dover.
Dover would include as much as two wells produced via a 17.5-mile flowline and riser, in accordance with Shell.
It estimates 44.5 million boe of confirmed and possible reserves in Dover. Shell authorized the challenge within the first quarter of 2023.
Dover is within the Mississippi Canyon in waters round 7,500 toes deep and about 170 miles off the southeast coast of New Orleans Metropolis, Louisiana, in accordance with Shell.
Additionally in 2025 within the Gulf, Shell put onstream the Whale discipline, anticipating manufacturing of as much as 100,000 boed. Shell operates Whale with a 60 % stake. Chevron Corp owns 40 %.
Situated in Alaminos Canyon Block 773, Whale encompasses a semi-submersible manufacturing host in over 8,600 toes of water. As much as 15 wells could be tied again to the host through subsea infrastructure, in accordance with the house owners.
Found 2017, Whale holds estimated confirmed and possible reserves of 480 million boe. Its manufacturing facility is adjoining to the Silvertip discipline, additionally owned by Shell and Chevron, and lies about 10 miles from Shell and Chevron’s Perdido spar platform, in accordance with the house owners.
Shell says it’s the high oil and gasoline producer within the Gulf.
To contact the creator, electronic mail jov.onsat@rigzone.com
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