BHP encounters oil in second appraisal of Shenzi discovery in Gulf of Mexico

By OGJ editors
HOUSTON, Nov. 15 -- BHP Billiton, operator of the deepwater Shenzi discovery on Green Canyon Block 653 in the Gulf of Mexico, reported that its second appraisal well, Shenzi-3, encountered 330 ft of net Miocene oil pay in a 410 ft gross hydrocarbon column. Shenzi field, 9 miles northwest of BHP's Atlantis field, was discovered in 2002 (OGJ Online, Nov. 21, 2002).

The Global Santa Fe Corp. CR Luigs drillship drilled Shenzi-3 to 28,000 ft TD in water 4,355 ft deep. An updip sidetrack well confirmed the hydrocarbon column. Drilling on another sidetrack is under way to gain additional reservoir data.

BHP holds a 44% interest in the field, and Amerada Hess Corp. and BP PLC each hold 28%.

Shenzi-1, drilled in 2002, encountered a gross hydrocarbon column of 465 ft with net pay of 140 ft. Shenzi-2, drilled in 2003, encountered a 1,250 ft gross hydrocarbon column and 500 ft of net oil pay in lower Miocene sandstones.