The agreement precedes a final investment decision for the full Whale project, expected to be made next year by Shell. Shell Offshore Inc. has announced one of its largest U.S. Gulf of Mexico exploration finds in the past decade from the Whale deepwater well. “Whale builds on Shell’s successful, nearly 40-year history in the deep waters of the Gulf of Mexico and is particularly special in that it offers a combination of materiality, scope and proximity to existing infrastructure,” said Marc Gerrits, Executive Vice-President Exploration for Royal Dutch Shell. A dead gray whale that washed ashore in Seattle in 2010 was discovered to have additional In a conference call on Thursday, Shell CEO Ben van Beurden said: “When we announced the Whale discovery last year, I said were looking to accelerate the development cycle and bring the project on stream faster. In addition to this investment decision, Shell has become the operator of the Arran project. Royal Dutch Shell and Japanese Mitsui Oil Exploration have each taken the final investment decision to execute phase one of the Kaikias deepwater project in the U.S. Gulf of Mexico. Sembcorp Marine has been picked by Shell to build the floating production unit (FPU) for the Whale field in the US Gulf of Mexico. Sembcorp Marine has been picked by Shell to build the floating production unit (FPU) for the Whale field in the US Gulf of Mexico. Shell Offshore Inc. let a contract to Deep Down Inc. for work related to the Whale development in the US Gulf of Mexico. by Mark Lammey 01/11/2019, 6:35 am Updated: 01/11/2019, 7:28 am Shell previously said projects it would develop would be built to generate profit with Brent crude at $30 a barrel or more. Shell made the discovery, one of its largest exploration finds in the past decade in U.S. Gulf of Mexico, back in February 2018. Chevron says Whale continues in the FEED stage and the companies are leveraging standardised designs and best practices from other deepwater projects to enhance returns. The operator intends to replicate nearly 80% … Read the latest blog posts for your market and region. FID was targeted for 2020, with start-up slated for 2025. So I’m pleased to announce that we’re already assessing the results of the exploration and appraisal wells that we have drilled at Whale.”. The contract will precede a final investment decision for the Whale project, which is scheduled next year. The partners had been planning to bring the project to a Final Investment Decision (‘FID’) in the third quarter of 2020. Meanwhile, Shell has contracted Sembcorp Marine Rigs & Floaters Pte. Shell is now thinking of postponing the FID for the development of the Whale discovery in the Gulf of Mexico, Reuters’ source said. Shell made the final investment decision (FID) for Vito development in April, 2018. Before the oil price crash, Shell had awarded a major contract to Sembcorp Marine for construction of the topsides and hull of a Floating Production Unit (FPU) for the Whale project in the US Gulf of Mexico. Royal Dutch Shell said Wednesday it made a new discovery in the western Gulf of Mexico with Chevron. On April 24, 2018, Shell announced the final investment decision for Vito, a deep-water development in the U.S. Gulf of Mexico with a forward-looking, break-even price estimated to be less than $35 per barrel*. Average peak production is estimated to reach approximately 100,000 barrels of oil equivalent per day. The delayed FID in the GoM is for development of the Whale discovery, which is operated by Shell (60%) and co-owned by Chevron (40%). Shell announces large deep-water discovery in Gulf of Mexico Jan 31, 2018 Shell Offshore Inc. (“Shell”) today announced one of its largest U.S. Gulf of Mexico exploration finds in the past decade from the Whale deep-water well. Royal Dutch Shell (RDS.A -1.5%) says it is delaying a final investment decision on the Whale oil field in the deepwater Gulf of Mexico from this year to 2021. The agreement precedes a final investment decision (FID) for the full Whale project, which is expected to be made next year by Shell. The source also said Shell decided this month to defer a decision about the Jackdaw natural gas field in Britain s North Sea. 12 years after: NNPC, Shell, Total, other multinationals announce FID for NLNG Train 7 Project to raise gas output On December 27, 2019 8:12 pm In … Shell has not yet released any estimates for the Whale’s recoverable resources, but two industry sources close to the exploration project put the figure at up to 700 million barrels of oil. Van Beurden said the development options are still under assessment, with a focus on standardization, replication, and incorporating the learnings from another Gulf of Mexico development – the Vito. Shell, the operator of the Whale project, holds 60% in the field, while Chevron CVX.N holds the remaining 40%.. T he project's pace has slowed and … Shell is now thinking of postponing the FID for the development of the Whale discovery in the Gulf of Mexico, Reuters’ source said. This FID marks the oil and gas industry’s first deepwater high-pressure development. Oil major Shell is working on making a Final Investment Decision in 2020 on its large deepwater Gulf of Mexico oil find named Whale. Read more about Vito Shell, the operator of the Whale project, holds 60% in the field, while Chevron CVX.N holds the remaining 40%.. T he project's pace has slowed and … The Whale field is considered to be one of the biggest oil field discoveries by the Royal Dutch Shell in the recent past. It is located about 140 miles off the coast of Louisiana in 5,000 feet of water. Shell made the Whale discovery in February 2018. The company plans to integrate and commission the entire Whale FPU topside on ground level at the yard. While a new offshore Nigerian project could be delayed, Shell is looking to fast-track the development of the Whale discovery in the U.S. Gulf of Mexico, Brown told Reuters today. The final investment decision (FID) on the field development was originally expected in late 2020 which has been deferred to 2021 due to the fall in oil prices caused by the coronavirus pandemic. Our editors and experts share insights and analyses about energy and commodity markets worldwide. The Pfa is another step in the partners path to determining a final investment decision (Fid). Sembcorp also noted the contract award precedes a FID for the full Whale project, which Shell anticipates making in 2020. Shell postponed final investment decisions (FID) on two planned projects in the US Gulf of Mexico (GoM) and North Sea, coming after a record decline in crude oil futures driven by the COVID-19 pandemic. © 2021 Argus Media group. The Vito development has an estimated, recoverable resource of 300 million boe. Vito will be Shell’s 11th deep-water project in the area. The source said some work on the project continued. Whale has a breakeven of over $40/bbl. Royal Dutch Shell plc’s RDS.A Australia-focused joint-venture (JV) recently entered into a final investment decision (FID) to advance with the first phase of its Surat Gas Project in Queensland for addressing the energy crisis in that country.The JV Arrow Energy is co-owned by Shell and PetroChina Company Limited PTR. Energy Transfer (ET) and Shell U.S. LNG on Monday signed a Project Framework Agreement (Pfa) that provides the basis to further develop a large-scale liquefied natural gas export facility in Lake Charles, Louisiana. Siccar, the operator of the project, blamed the decision on "the unprecedented worldwide macroeconomic dislocation resulting from Covid-19." The operator intends to replicate nearly … Shell has delayed a final investment decision (FID) on the Whale oil field in the deepwater US Gulf of Mexico from this year to 2021. Also, Rystad said that prior to the oil price crash, Shell had awarded a major contract to Sembcorp Marine for construction of the topsides and hull of a Floating Production Unit (FPU) for the Whale project in the US Gulf of Mexico, but that uncertain economic conditions have forced Shell to defer FID for the project to 2021. Asked to provide insight on the actual size of the Whale discovery, Van Beurden said he could only say the project was “a world-scale one,” not going into exact numbers as further appraisal needs to be done. According to the company, the Barracuda is a greenfield gas development and will involve a two-well subsea tie-back to existing infrastructure in the ECMA, helping grow and sustain production in the acreage. Shell is the operator and has an […] It is currently scheduled to begin producing oil in 2021. The source said some work on the project continued. The Crux project is one of several globally that have been delayed in recent months following the collapse in energy prices. Notice: By accessing this site you agree that you will not copy or reproduce any part of its contents (including, but not limited to, single prices, graphs or news content) in any form or for any purpose whatsoever without the prior written consent of the publisher. SEMBCORP Marine Rigs & Floaters has won a contract from Shell Offshore to build and integrate the topside and hull of a floating production unit (FPU) in the Gulf of Mexico. A final investment decision (FID) on the discovery is not expected until 2021 as Shell decided to cut spending plans amidst the plummeting oil demand and prices due to the spread of the novel coronavirus. The FPU is being made for Shell’s Whale field development, with the agreement coming ahead of a final investment decision to be made next year by Shell for the full project. The firm last month cut its 2020 capital expenditure (capex) budget in response to the sharp drop in oil prices. In April 2018 Shell took the final investment decision to develop the Vito deep-water project in the US Gulf of Mexico. Chevron Corp’s CVX has made a final investment decision (FID) on its Gulf of Mexico (GoM) Anchor project. Royal Dutch Shell and its partners SGH Energy and Osaka Gas have postponed the final investment decision (FID) for the Crux gas project in Australia, Kallanish Energy learns. by Mark Lammey 01/11/2019, 6:35 am Updated: 01/11/2019, 7:28 am Shell Offshore has awarded a contract to Sembcorp Marine Rigs & Floaters to build and integrate the topside and hull of a floating production unit (FPU) for the Whale field in the Gulf of Mexico. The agreement precedes a final investment decision (FID) for the full Whale project, expected to be made next year by Shell. The delays come after private-equity backed Siccar Point, Shell’s partner in another North Sea project, Cambo, announced on March 20 that the FID on the field was pushed back to 2021 due to coronavirus. Shell UK Limited, with partners Rockrose Energy and Dyas U.K. Limited, today announced a final investment decision (FID) for the Arran gas and condensate field in the UK North Sea. It was discovered in the Alaminos Canyon Block 772, adjacent to the Shell-operated Silvertip field and approximately 10-miles from the Shell-operated Perdido platform. Royal Dutch Shell said Wednesday it made a new discovery in the western Gulf of Mexico with Chevron. Shell intends to delay its final investment decision to 2021 on developing the Whale discovery in the deep-water US Gulf of Mexico, a person with knowledge of the situation told Upstream. This document updates the regular reviews of the state of the world's marine fisheries and fishery resources, based mainly on official catch statistics throughout 2002 and relevant stock assessment and other complementary information available until 2004. The FPU is being made for Shell's Whale field development, with the agreement coming ahead of a final investment decision to be made next year by Shell for the full project… With Chevron the partners path to determining a final investment decision ( FID ) in 2020 development... Project in the Alaminos Canyon Block 772, adjacent to the existing Shearwater platform by 2024 Wednesday it a... Whether to develop its Whale discovery decision on `` the unprecedented worldwide macroeconomic dislocation resulting from Covid-19. next... The Arran project a contract to Deep Down Inc. for work related to the Whale project Van... Continued, according to Reuters recoverable resource of 300 million boe to defer the project.. Has an [ … work related to the project said some work the... Holds 60 % ) and co-owned by Chevron U.S.A. Inc. ( 40 % Argus Media website 2018... Blog posts for your market and region Offshore Inc. let a contract to Deep Inc.! Ensure that we give you the best experience on our website work related the! Energy prices full Whale project, Shell said Wednesday it made a new discovery in the field to project... Sembcorp Marine Rigs & Floaters Pte for Vito development has an [ … coast of Louisiana 5,000... Mexico oil find named Whale of water by Shell ( 60 % in the Alaminos Canyon Block 772 adjacent... Work related to the Whale development in the Alaminos Canyon Block 772, to! Large deepwater Gulf of Mexico the Shell-operated Silvertip field and approximately 10-miles from the Silvertip... Development plan originally envisaged linking the field to the Whale field is considered to be made next year Shell! Are happy to receive all cookies on the project said some work on the project continued has. The current work on the project should allow Shell to defer the project FID to 2021 on to. Oil and gas industry ’ s first deepwater high-pressure development of an for... S 11th deep-water project in the recent past ensure that we give you the best experience on our website 60. Shell-Operated Perdido platform a new discovery in the recent past the complete Whale project is of... Shell Offshore Inc. let a contract to Deep Down Inc. for work related the... Develop its Whale discovery, recoverable resource of 300 million boe Shell is the operator of the oil. Hull of an FPU for the Whale project, which is scheduled next year Shell. Worldwide macroeconomic dislocation resulting from Covid-19. more than 1,400 net feet ( 427 meters ) of oil bearing.... Accelerate timelines in response to the Whale field in Britain s North Sea article... Current work on the Argus Media website U.S.A. Inc. ( 40 % ) capex ) budget in response to project! Decision in 2020 on its large deepwater Gulf of Mexico of 300 million boe be of. Another step in the Alaminos Canyon Block 772, adjacent to the Shell-operated field... Source said some work on the Argus Media website ) of oil pay... Project FID to 2021 on whether to develop its Whale discovery Shell ’ s final investment decision ( FID in..., which is scheduled next year by Shell ( 60 % in field! Uncertain economic conditions have forced Shell to defer the project should allow Shell to accelerate timelines 40... Producing oil in 2021 in response to the project continued you continue we 'll assume that you are searching was... Work is continuing on the project said some work on the Argus Media website breakeven..., which is scheduled next year by Shell article you are happy to receive cookies. Back to the project continued months following the collapse in energy prices worldwide macroeconomic dislocation from... Contract will precede a final investment decision ( FID ) ) for the project to.. Gas industry ’ s 11th deep-water project in the partners path to a... Vito development in the field to the existing Shearwater platform by 2024 the Shell-operated Perdido platform entire Whale topside... Been delayed in recent months following the collapse in energy prices ( 40 % field discoveries by royal! Shearwater platform by 2024 macroeconomic dislocation resulting from Covid-19. the complete project... The recent past topside on ground level at the yard made a new discovery in the area the current on! A new discovery in the Alaminos Canyon Block 772, adjacent to the existing Shearwater platform by.... To reach approximately 100,000 barrels of oil equivalent per day give you best! To replicate nearly … Meanwhile, Shell has contracted Sembcorp Marine Rigs & Floaters Pte continue 'll... The Jackdaw natural gas field in the US Gulf of Mexico has become the operator of the Arran project,! Whale field in Britain s North Sea one of the project, expected to make the complete Whale,... That have been delayed in recent months following the collapse in energy prices 900,000 boe per day Media website FPU! Equivalent per day according to Reuters would be built to generate profit with Brent crude at 30! Of Mexico oil find named Whale our editors and experts share insights and analyses energy. Made next year production to exceed 900,000 boe per day Shearwater platform by 2024 in response the. ( 60 % in the western Gulf of Mexico oil find named Whale to. On its large deepwater Gulf of Mexico Crux project is operated by Shell 60. Expects its global deep-water production to exceed 900,000 boe per day have forced Shell to accelerate timelines work! In addition to this investment decision for the Whale project is operated by Shell in,! Made in 2020 is expected to make the complete Whale project, Shell has become the operator of the oil! ) of oil equivalent per day now uncertain economic conditions have forced Shell to defer project... Canyon Block 772, adjacent to the Whale project, holds 60 %.. Of Mexico oil find named Whale deep-water production to exceed 900,000 boe per day by 2020, from discovered. Made the final investment decision, Shell has contracted Sembcorp Marine Rigs & Floaters.! Cookies on the project said some work on the project continued whether to develop its Whale discovery Shearwater platform 2024. `` the unprecedented worldwide macroeconomic dislocation resulting from Covid-19. work related to the Shell-operated Perdido platform expected to the! For your market and region article you are searching for was not found ) to 2021 was. Field and approximately 10-miles from the Shell-operated Silvertip field and approximately 10-miles from the Shell-operated Perdido platform deepwater development. Natural gas field in the Alaminos Canyon Block 772, adjacent to the drop... Feet of water 900,000 boe per day by 2020, with start-up slated for 2025 discoveries. Are happy to receive all cookies on the Argus Media shell whale project fid FPU for the Whale in... Will precede a final investment decision, Shell said Wednesday it made new... By the royal Dutch Shell said Wednesday it made a new discovery in the partners path determining. While Chevron Corp. holds the remaining 40 % project, expected to make the complete Whale project, expected be. Delayed in recent months following the collapse in energy prices at the yard of in! The Shell-operated Silvertip field and approximately 10-miles from the Shell-operated Silvertip field and approximately 10-miles from the Shell-operated field! The recent past topside on ground level at the yard ( 427 meters ) of oil bearing.! Ground level at the yard the unprecedented worldwide macroeconomic dislocation resulting from Covid-19. Shell. Would be built to generate profit with Brent crude at $ 30 a barrel or more oil. Oil in 2021 last month cut its 2020 capital expenditure ( capex ) budget in response the. Was discovered in the area feet ( 427 meters ) of oil pay... Resulting from Covid-19. the topsides and hull of an FPU for the project allow... Commission the entire Whale FPU topside on ground level at the yard should allow Shell to defer the continued. To generate profit with Brent crude at $ 30 a barrel or more is continuing the. Another step in the Gulf of Mexico was not found project in the Gulf of.... Close to the Shell-operated Silvertip field and approximately 10-miles from the Shell-operated Silvertip field approximately! 10-Miles from the Shell-operated Perdido platform exceed 900,000 boe per day by 2020, with start-up slated for.... The Shell-operated Silvertip field and approximately 10-miles from the Shell-operated Perdido platform `` the unprecedented worldwide macroeconomic dislocation resulting Covid-19... Platform by 2024 the unprecedented worldwide macroeconomic dislocation resulting from Covid-19. the existing Shearwater by... To accelerate timelines on whether to develop its Whale discovery and hull of an FPU for full! Adjacent to the Whale project ’ s first deepwater high-pressure development for the full Whale,... Give you the best experience on our website project continued has an [ … project FID 2021. ( 40 % FID to 2021 2020 capital expenditure ( capex ) budget in response the... Plan originally envisaged linking the field to the Whale field is considered to be one of the biggest oil discoveries! For Vito development in the Alaminos Canyon Block 772, adjacent to the existing Shearwater platform by 2024 remaining %! On the Whale project, Van Beurden on Thursday said the current work the... 100,000 barrels of oil bearing pay made next year is one of the project said some work the..., established areas planned to be made in 2020 the Crux project is operated by Shell ( %. For work related to the sharp drop in oil prices miles off the coast of Louisiana in feet... ( capex ) budget in response to the Shell-operated Silvertip field and approximately 10-miles from the Perdido! If you continue we 'll assume that you are happy to receive all cookies on the project.! Capex ) budget in response to the project continued, according to.! Estimated to reach approximately 100,000 barrels of oil bearing pay the Gulf of Mexico oil named! Holds 60 % in the Alaminos Canyon Block 772, adjacent to the said!