Talos Energy Inc. estimates third-quarter 2021 average daily production of 56,000-56,500 boe/d following operational disruptions caused by Hurricane Ida in August.
The estimate represents 10,000-11,000 boe/d of hurricane downtime compared to the company's projections for the quarter pre-hurricane, the operator said in a release Oct. 12. Production for the quarter was about 69% oil and 77% liquids.
Production disruptions following Hurricane Ida were prolonged due to complications affecting third-party downstream service providers, the company said. Key refiners, crude oil terminals, and pipelines were not fully returned to operation for several weeks due to a mix of storm-related damage and lack of power. The company's assets did not experience significant damage and the majority have been returned to normal operations, producing an average of 66,500 boe/d in the last week of September.
Some 4,000 boe/d of production remains offline across various assets, primarily due to repairs being made to pipelines and other downstream facilities. Talos expects the remaining impacted assets to return to production over the coming weeks and months as the third-party repairs are finalized.
Despite the disruptions, Talos continues to expect annual production near the lower end of the previously guided annual range, and expects production for fourth-quarter 2021 of 64,000-66,000 boe/d.
