Shell finds success once again in deepwater Gulf of Mexico with Kaikias appraisal

Sarah Parker Musarra

HOUSTON – In drilling its longest-ever well, Shell has confirmed 100 MMboe of pay in the Kaikias well, close to its existing infrastructure in the deepwater Gulf of Mexico’s Mars-Ursa basin.

Located about 60 mi (96 m) offshore the Louisiana coast, the well drilled reached 34,500 ft (10,515 m) measured depth. Despite the record-setting depth, the supermajor said that the drilling and appraisal of Kaikias was ahead of schedule and under budget, resulting in a 20% cost savings.

Kaikias was discovered in August 2014. Appraisal drilling took place one year later and proved more than 300 ft (91.4 m) of net oil pay. Shell says that the Mars-Ursa basin is characterized as “high-quality oil in world-class quality reservoirs.”

Kaikias is located in about 4,575 ft (1,395 m) of water, and Shell says that the development of Kaikias could amount to more than 100 MMboe.

The resource-rich Mars-Ursa basin comprises the Mars, West Boreas, and South Deimos fields, and the company says the trio could combine to produce around 100 boe/d through the Olympus TLP when it comes hits its peak next year. 

Kaikias could enhance Shell’s already robust deepwater Gulf of Mexico oil and gas portfolio. Its Mars B/Olympus project produced first oil in 2014, and Cardamom followed suit months later, in September. Shell expects Stones to begin producing next year, and it took the FID on Appomattox in July 2015.


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