The one-month project for Shell will commence in 4Q19 and will cover an area of approximately 600 km2 in the western Black Sea.
The company’s latest research reveals that the West of Shetland (WoS) area retains the attention of major exploration and production (E&P) players in the region.
Project to deliver the industry’s longest deepwater tieback using a subsea multiphase compression system.
Under the agreement, Shell will reduce its stake in the discovery from 80% to 50% and continue as operator, while Total will retain the remaining 20%.
The acquisition includes the the Jumping Pound, Caroline and Waterton gas plants, 29 000 boe/d of production, a partial ownership of the Shantz sulfur plant and 1700 km of pipelines.
Project management and detailed engineering has commenced at Subsea 7’s office in Aberdeen, with offshore activities scheduled for 2020 and 2021.
According to Rystad Energy, BP has seen the most resource growth from mergers and acquisitions (M&A) across all supply segments, adding nearly 6.5 billion boe. Conversely, Shell has shed almost 11 billion boe since 2015 (excluding the effect of Shell’s 2015 acquisition of BG Group).
Brazil’s recent pre-salt rounds have attracted majors, with BP, ExxonMobil, Royal Dutch Shell, and Statoil all now operators.