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Posts Tagged ‘Spruance’

Uptick in GoM oil production

Posted in Gulf of Mexico, Offshore Energy - General, tagged , , , , , , on December 2, 2022| Leave a Comment »

The September total reflects production from recent deepwater startups, including King’s Quay (Murphy) and Spruance (LLOG). Other new deepwater facilities should further boost GoM oil production next year as forecasted by BOEM (table below). Unfortunately, the BOEM forecast considerably overstates 2022 production and appears to be optimistic for the outyears. This is a significant concern given that US offshore leasing policy, as reflected in the 5 Year Plan, is naively focused on throttling long-term production. See the rather startling quote below:

“BOEM’s short-term (20-year) production forecast for existing leases shows steady growth from 2022 through 2024 and declining thereafter (see Section 5.2.1). The long-term nature of OCS oil and gas development, such that production on a lease can continue for decades makes consideration of future climate pathways relevant to the Secretary’s determinations with respect to how the OCS leasing program best meets the Nation’s energy needs.“

5 Year Leasing Program, p.3

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Another achievement we should be applauding – first production from the Spruance Field

Posted in energy policy, Gulf of Mexico, Offshore Energy - General, tagged , , , , , on June 30, 2022| Leave a Comment »

“The two-well subsea development is producing, in combination, approximately 16,000 barrels of oil per day and 13 million cubic feet of gas per day via a 14-mile subsea tieback to the EnVen-operated Lobster platform in EW 873. First production was achieved less than three years after the initial exploratory discovery well was drilled.” 

LLOG

The project owners (below) are all independent producers and private equity firms. Houston Energy, LLOG, Red Willow, EnVen, and Beacon were also among the high bidders in Lease Sale 257, which was vacated by a questionable court decision that the Federal government chose not to appeal.

The companies responsible for these important projects (see “simpler, safer, greener”) that have or will soon initiate production were also active bidders at Lease Sale 257. The absence of leasing has thus seriously handicapped the companies most responsible for the production surge to over 2 million BOPD in 2019 and for sustaining the current Gulf production rate of 1.7 million BOPD.

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