BP has approved the $1.3bn phase 3 development of the Atlantis oil field located in deepwater Gulf of Mexico, offshore US.
The firm’s final investment decision for the latest development of the Atlantis oil field comes after detecting the presence of an additional 400 million barrels of oil in the eastern area.
BP said that the findings of the surplus resources in the offshore oil field are a result of its recent breakthroughs in advanced seismic imaging and reservoir characterization.
Under the Atlantis Phase 3 project, the company will take up construction of a new subsea production system from eight new wells that will be tied into the current platform, located 241km south of New Orleans.
The phase 3 of the Atlantis oil field is expected to begin production in 2020. At its peak, the project is expected to increase production at the Atlantis platform by an estimated 38,000 barrels of oil equivalent a day (boe/d) gross.
BP Gulf of Mexico and Canada regional president Starlee Sykes said: “Atlantis Phase 3 shows how our latest technologies and digital techniques create real value – identifying opportunities, driving efficiencies and enabling the delivery of major projects. Developments like this are building an exciting future for our business in the Gulf.”
BP is the operator of the Atlantis oil field with a stake of 56%. Its partner in the offshore US oil field is BHP with a stake of 44%, which is expected to make a final investment decision on Atlantis phase 3 development in early 2019.
The Atlantis oil field was discovered by BP in 1998 and was brought on stream in 2007. The oil and gas giant is the operator of three other production platforms in the deepwater Gulf of Mexico that include Thunder Horse, Mad Dog and Na Kika.
In a separate development, BP has revealed two oil discoveries at the Manuel and Nearly Headless Nick prospects, both located in the Gulf of Mexico. The company plans to develop the Manuel discovery in the Mississippi Canyon block 520 through subsea tieback to the Na Kika platform.
BP and Shell hold equal stakes in the Manuel discovery.
The Nearly Headless Nick discovery, which is contained in the Mississippi Canyon block 387, is operated by LLOG. BP, which owns a 20.25% working interest, said that the Nearly Headless Nick field is expected to be tied back to the nearby Delta House facility operated by LLOG.
Last month, the company and its partners reached an FID for the Phase I of Greater Tortue Ahmeyim development, located on the maritime border between Mauritania and Senegal.