Gulf of Mexico success at Shell's Vicksburg ‘A’ well

Shell

Shell (NYSE: RDS.A) (NYSE: RDS.B) has announced a successful exploratory well at Vicksburg in the deepwater Gulf of Mexico. The well is located 75 miles (120 kilometers) offshore in the De Soto Canyon Block 393 in 7,446 feet (2,269 meters) of water. It was drilled to a total depth of 26,385 feet (8,042 meters) and encountered more than 500 feet (152 meters) of net oil pay.

In total, the Vicksburg "A" discovery is estimated to hold potentially recoverable resources of more than 100 million barrels of oil equivalent (mmboe). It adds to the more than 500 mmboe of potentially recoverable resources that have already been discovered and appraised at the nearby Appomattox discovery. Vicksburg "A" is a separate accumulation from both Appomattox and the 2007 Vicksburg "B" discovery.  

"The results of the Vicksburg well strengthen our existing deepwater Gulf of Mexico exploration portfolio and should contribute to the nearby Appomattox discovery," said Mark Shuster, executive vice president of Shell Upstream Americas Exploration.  

Shell (the operator with a 75% interest) and Nexen, a wholly owned subsidiary of CNOOC Ltd., (25% interest), are following up the Vicksburg "A" well with a sidetrack well to test the Corinth prospect, a separate fault block from the Vicksburg discovery. Further exploration drilling targeting tie-backs to Appomattox will follow.

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