The Winterfell development in the U.S. Gulf of Mexico has started up oil production, one of the partners in the oilfield, Kosmos Energy, said on Wednesday.
Winterfell, located in the Green Canyon area in the Gulf of Mexico, was discovered in 2021 at a water depth of approximately 5,400 feet (about 1,600 meters). The field has been developed via a 13-mile subsea tieback to the host platform.
Houston-based Beacon Offshore Energy is the project’s operator, while the other partners include Kosmos Energy, Westlawn Americas Offshore, Red Willow, Alta Mar Energy, and CSL Exploration.
Winterfell is a phased development and the initial two production wells of the first phase are now online and ramping up production, Kosmos Energy said today.
A third well is currently being drilled and is expected to be online by the end of the third quarter of 2024. The three initial wells are expected to deliver gross production of about 20,000 barrels of oil equivalent per day (boepd), according to the company.
The first phase of the development, with five wells in total, is expected to deliver around 100 million barrels of oil equivalent with upside from subsequent phases.
“With high margin barrels, low carbon intensity and a quick expected payback, Winterfell has the right characteristics for Kosmos’ portfolio,” said chairman and chief executive Andrew G. Inglis.
“Kosmos is eager to continue developing the Greater Winterfell area which we believe has significant future upside potential.”
The federal offshore Gulf of Mexico area produced 1.831 million barrels per day (bpd) of crude oil in April 2024, according to the latest data from the U.S. Energy Information Administration (EIA).
In 2022, oil and natural gas production in the Federal Offshore Gulf of Mexico accounted for about 15% of total U.S. crude oil production and approximately 2% of total U.S. dry natural gas production.
By Tsvetana Paraskova for Oilprice.com
Lead image (Credit: Reuters)
