LLOG begins GoM Delta House hub installation

Offshore staff

COVINGTON, LouisianaLLOG Exploration has begun installing its Delta House floating production hub in the Gulf of Mexico. According to the New Orleans Times Picayune, this part of the $2 billion project is expected to start producing oil and gas in early 2015.

LLOG has spent the last three years working with contractors to design and build Delta House, one of only two floating production systems owned by a private company in the world.

Delta House was towed earlier this month from Aransas Pass, Texas, to its site in the GoM Mississippi Canyon, about 130 mi (209 km) southeast of New Orleans, Louisiana. Crews will now hook the 296-ft (90-m) facility up to the last of its 12 mooring cables to secure it to the sea floor 4,500 ft (1,372 m) below the water's surface.

The facility is expected to process as much as 80,000 boe/d and 130 MMcf /d (3.7 MMcm/d) of natural gas from three surrounding fields, including LLOG's Marmalard field.

The Delta House project comes as LLOG ramps up its investment in the deepwater Gulf with the help of private equity financing. Blackstone Energy Partners agreed in November 2012 to invest $1.2 billion in the company's offshore operations.


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