BP PLC approved a $1.3-billion expansion at Atlantis field in the Gulf of Mexico and said recent seismic imaging identified 1 billion bbl of additional oil in place at Thunder Horse field. Elsewhere in the gulf, two discoveries near Na Kika platform provide additional development opportunities.
In addition, BP expects its net gulf production will reach about 400,000 boe/d in the next decade. While BP made a final investment decision on Atlantis Phase 3, co-owner BHP has yet to commit to FID. BP operates Atlantis and holds 56% interest while BHP holds 44% interest.
Atlantis field, which lies in 4,400-7,100 ft of water 130 miles offshore Louisiana, was developed using a semisubmersible (OGJ Online, Dec. 20, 2007). The field comprises Green Canyon blocks 699, 700, 742, 743, and 744.
Bernard Looney, BP’s upstream chief executive, said BP considers its gulf holdings as young, with only 12% of hydrocarbons in place having been produced.
“We can see many opportunities for further development, offering the potential to continue to create significant value through the middle of the next decade,” Looney said.
Atlantis, advanced seismic
BP said the expansion will include the construction of a subsea production system from which eight wells will be tied into the platform 150 miles south of New Orleans. Phase 3 is scheduled to come on stream in 2020.
At its peak, the expansion is expected to boost production by an estimated 38,000 boe/d. The expansion will access Atlantis field’s eastern area where advanced imaging and reservoir characterization identified additional oil in place.
In Thunder Horse field, BP said proprietary algorithms enhanced full waveform inversion, allowing interpretation of seismic data within a few weeks compared with what previously would have taken a year to analyze.
Following a field trial at Mad Dog field, more advanced seismic imaging with ocean bottom nodes and BP’s proprietary Wolfspar seismic acquisition source is planned for Thunder Horse and Atlantis. Wolfspar ultralow frequencies allow geophysicists to evaluate deeper levels below salt layers than previously was possible.
BP also reported the Manuel and Nearly Headless Nick discoveries. Manuel is on Mississippi Canyon Block 520, east of BP-operated Na Kika platform. The well encountered oil pay in Miocene sandstone reservoirs.
Plans are to develop the reservoirs via subsea tieback to the Na Kika platform. BP’s partner in the Manuel discovery is Shell with 50% interest.
BP has a 20.25% stake in the Nearly Headless Nick discovery on Mississippi Canyon Block 387, operated by LLOG Exploration Co. LLC. The well encountered oil pay in Miocene sandstone reservoirs and is expected to be tied back to the nearby LLOG-operated Delta House floating production system (OGJ Online, Jan. 4, 2016).
BP’s partners in Nearly Headless Nick discovery include LLOG of Covington, La., Kosmos Energy Ltd., and Ridgewood Energy.
BP’s gulf production
Over the last 5 years, BP’s net gulf production has increased by more than 60%, rising to more than 300,000 b/d. BP anticipates its production growing to around 400,000 boe/d through the middle of the next decade.
The growth will be supported by recent project startups, including Thunder Horse Northwest and Thunder Horse South expansions and the Thunder Horse water-injection project, as well as the addition of a second platform, Argos, at Mad Dog field, scheduled to come online in late 2021.
Future potential developments at BP’s gulf fields include Atlantis Phase 4-5, further developments at Thunder Horse, Na Kika subsea tiebacks, and Mad Dog field extensions.
