bp approves Tiber-Guadalupe oil development hub in US Gulf

bp plc has reached a final investment decision (FID) on the  $5-billion Tiber-Guadalupe oil and gas production hub in the US Gulf of Mexico.

The decision marks bp’s second production platform approval in less than 2 years in the US offshore region and serves as part of the operator’s noted commitment to grow its upstream oil and gas business and continue investing in the Gulf of Mexico. Globally, bp expects to start-up 8-10 major projects between 2028-2030.

Mid-2024, bp took FID to develop the Kaskida project in the Gulf of Mexico’s Keathley Canyon area about 250 miles southwest of New Orleans, La. Kaskida represents bp’s first step toward unlocking the Paleogene, an oil-rich geological area, using technology to manage pressures of up to 20,000 psi. 

Tiber-Guadalupe, which lies about 300 miles southwest of New Orleans in the Keathley Canyon area, is bp’s seventh operated oil and gas production hub in the Gulf of Mexico. It will utilize a new floating production platform with the capacity to produce 80,000 b/d of crude oil. The FPU will be based more than 85% on Kaskida's FPU design.

Tiber-Guadalupe includes six wells in Tiber field and a two-well tieback from Guadalupe field. The fields are estimated to hold recoverable resources of around 350 MMboe from the initial phase. Additional wells could be drilled in future phases, subject to further evaluation, bp said. Production is expected to start in 2030.

bp aims to to increase production to more than 400,000 boe/d from the US offshore region by 2030. 

bp said the newly sanctioned project “further unlocks around 10 billion barrels of discovered resources in place” across its US Gulf Paleogene assets.