Kerr-McGee makes gas find with Claymore prospect

May 10, 2006
Kerr-McGee Corp. has made a natural gas discovery at its Claymore prospect on Atwater Valley Block 140 in the deepwater Gulf of Mexico about 150 miles southeast of New Orleans.

By OGJ editors
HOUSTON, May 10 -- Kerr-McGee Corp. has made a natural gas discovery at its Claymore prospect on Atwater Valley Block 140 in the deepwater Gulf of Mexico about 150 miles southeast of New Orleans.

The Claymore-1 well, drilled to 25,000 ft TD in 3,700 ft of water, encountered more than 150 ft of net pay in multiple zones.

Kerr-McGee Chief Operating Officer David A. Hager said, "The initial data indicates this reservoir contains dry gas with very high rock quality."

After well evaluation is complete, Kerr-McGee immediately will drill a 4,600 ft side-track appraisal well northeast of the discovery well to test the down-dip limit of the reservoir.

The Claymore appraisal will delay the planned spud of the Norman prospect on Garden Banks Block 434. Once the Claymore appraisal work is complete, the rig is expected to move to Norman, Kerr-McGee said.

Claymore-1 is the first well in the company's 2006 subsalt program in the deepwater Gulf of Mexico, which includes four to five additional high-impact subsalt exploration targets this year.

Interests in the Claymore prospect include operator Kerr-McGee 33.5%, Dominion Exploration & Production Inc. 31.5%, Statoil Gulf of Mexico LLC 25%, and Woodside Energy (USA) Inc. 10%.

Separately, Kerr-McGee is drilling the Caesar prospect on Green Canyon Block 683. The well currently is at 29,000 ft. Kerr-McGee operates the subsalt Miocene prospect with a 20% working interest. Other partners include Shell Oil Co. 62.5% and Plains Exploration & Production Co. 17.5%.

Kerr-McGee also spud the Grand Cayman prospect on Garden Banks Blocks 517, 518, 561, and 562. The company operates the prospect with a 35% working interest. Partners include Plains E&P 30%, Statoil 25%, and Newfield Exploration Co. 10%.