Mars start-up claims two gulf records

Aug. 26, 1996
Units of Shell Oil Co. and BP America Inc. have claimed two production records in the Gulf of Mexico with start-up of the $1.2 billion Mars development. Shell Offshore Inc. and BP Exploration Inc. set a new water depth record for the gulf this summer when they installed Mars tension leg platform (TLP) in 2,940 ft of water on Mississippi Canyon Block 807, about 130 miles southeast of New Orleans. Since commencing production in early July, the first Mars well has produced as much as 15,000 b/d of

Units of Shell Oil Co. and BP America Inc. have claimed two production records in the Gulf of Mexico with start-up of the $1.2 billion Mars development.

Shell Offshore Inc. and BP Exploration Inc. set a new water depth record for the gulf this summer when they installed Mars tension leg platform (TLP) in 2,940 ft of water on Mississippi Canyon Block 807, about 130 miles southeast of New Orleans.

Since commencing production in early July, the first Mars well has produced as much as 15,000 b/d of oil, the greatest sustained daily flow rate reported in the gulf.

The Mars watersheds topped records set in Shell's Auger field. Auger TLP lies in 2,860 ft of water on Garden Banks Block 426, and an Auger well has sustained oil output of 13,000 b/d, the gulf's previous record.

At least the water depth mark for production set by Mars will fall late next year, when Shell Offshore, Amoco Production Co., and Exxon Co. U.S.A. start production in Ram-Powell field. The group plans to install Ram-Powell TLP about midyear in 3,218 ft of water on Viosca Knoll Block 956 (OGJ, Jan. 30, 1995, p. 41).

Mars in mid-August was producing a combined 21,000 b/d of oil and 25 MMcfd of gas from one well on the TLP and one subsea well tied back to the production facility.

Partners gradually were increasing output from the two wells and working to bring on line the remaining nine Mars development wells drilled prior to installation of the TLP in April 1996 (see map, OGJ, Apr. 8, p. 23).

Shell Offshore holds 71.5% interest in Mars project and BP Exploration the remaining 28.5%.

Mars transportation scheme

The largest discovery in the gulf in more than 25 years, Mars output is expected to reach 100,000 b/d of oil and 110 MMcfd of gas early in 1997.

Partners are transporting Mars oil to shore through a dedicated new $135 million subsea pipeline system.

Mars oil pipeline consists of an 18 in. spread extending about 40 miles from the TLP to West Delta Block 143, where it connects with a 24 in. line that comes ashore 55 miles away at Fourchon in South Louisiana. From there, the line for 29 miles parallels the pipeline connecting Louisiana Offshore Oil Port (LOOP) to LOOP storage facilities at Clovelly, La.

The 250,000 b/d Mars oil pipeline is expandable to 500,000 b/d.

Partners plan to store Mars oil at LOOP in a dedicated 3 million bbl salt dome cavern that can feed five pipelines serving U.S. refiners. Oil from the field already has filled Mars pipeline, and partners Aug. 3 began injecting crude into the storage cavern, meaning Mars oil will be available for sale this month for September delivery.

Partners are transporting Mars gas to shore through a 14 in. subsea pipeline to West Delta 143. From there, gas for the time being flows 5 miles through a 12 in. line to Texas Eastern Transmission Corp.'s offshore system at West Delta Block 128.

Partners expect to soon begin transporting Mars gas from West Delta 143 to the Venice gas plant area in South Louisiana on the new Mississippi Canyon Gathering System (MCGS). MCGS is a $62 million, 30 in. gas line with capacity for as much as 600 MMcfd. Shell unit Coral LP, Houston, is to market Shell's share of Mars gas output.

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