Chevron Corporation (ticker: CVX) has announced a “significant” oil discovery at the Anchor prospect in the deepwater U.S. Gulf of Mexico.
The Anchor #2 Well, which is located in Green Canyon Block 807, was drilled to a total depth of 33,749 feet and encountered pay in multiple Inboard Lower Tertiary Wilcox Sands. The well is located approximately 140 miles from the Louisiana coast in 5,183 feet of water. Appraisal drilling will begin in 2015.
Chevron subsidiary Chevron U.S.A. Inc. is the operator, with a 55% working interest in the Anchor prospect, with partners Cobalt International Energy Inc. (ticker: CIE) holding a 20% interest, Samson Offshore Anchor LLC with a 12.5% interest and Venari Resources LLC who also holds a 12.5% interest.
“Chevron’s position in the Gulf, where we are expecting further growth in the near-term recent project startups at Jack/St. Malo and Tubular Bells, is further underpinned by this discovery,” said Jeff Shellebarger, president of Chevron North America.
Adding more discoveries in the Gulf
News of Chevron’s discovery comes just a month after the company announced that production had begun at other Gulf discoveries in the Jack and St. Malo fields, which are within 25 miles of one another. The fields are expected to reach production levels of 94 MBOPD once they are fully online.
Chevron’s other discovery in the Gulf late last year, the Guadalupe, also yielded “significant oil pay”, according to Chevron, adding to the company’s offshore inventory.
Chevron currently has five deepwater drillships operating in the Gulf, two of which are focused on exploration activities.
The company is producing roughly 200 MBOPD from the Gulf region, according to a transcript from a November conference, and expects the volume to rise once its new wells are tied into existing production streams.
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