Phillips Petroleum Company Declares Mahogany Field Commercial in Gulf of Mexico

Strategic Insights -

Phillips Petroleum Company and its co-venturers, Anadarko Petroleum Corporation and Amoco Production Company, have announced the commercial declaration of the Mahogany field in the Gulf of Mexico. Located 80 miles offshore Louisiana, the field is the first commercial sub-salt oil development in the region. The project involves the construction of a platform capable of handling up to 45,000 barrels of oil per day and 100 million cubic feet of gas per day. Initial gross production is expected to be approximately 22,000 barrels of oil per day and 30 million cubic feet of gas per day, with the potential for increased production levels through additional drilling.

Key Takeaways:

  • The Mahogany field is a significant discovery in the Gulf of Mexico, marking the first commercial sub-salt oil development in the region.
  • The field is located in 370 feet of water, 80 miles offshore Louisiana, on Ship Shoal South Addition Blocks 349/359.
  • Phillips Petroleum Company is the operator of the field, holding a 37.5 percent working interest, while Anadarko and Amoco hold 37.5 percent and 25 percent, respectively.
  • The development plan calls for a platform capable of handling up to 45,000 barrels of oil per day and 100 million cubic feet of gas per day.
  • Initial gross production is expected to be approximately 22,000 barrels of oil per day and 30 million cubic feet of gas per day.
  • The drilling of additional appraisal wells may result in increased production levels.
  • The Mahogany #3 well has successfully encountered its primary objective, a zone that tested 7,200 barrels of oil per day in the #1 discovery well.
  • The Mahogany #4 delineation well is scheduled to be spudded after completion of the #3 well, with other development wells to follow.

Statistics:

  • The platform will have a processing capacity of up to 45,000 barrels of oil per day.
  • The platform will be capable of handling 100 million cubic feet of gas per day.
  • Initial gross production is expected to be approximately 22,000 barrels of oil per day.
  • Initial gross production is expected to be approximately 30 million cubic feet of gas per day.
  • The Mahogany #1 well tested 7,200 barrels of oil per day.
  • Construction of the platform is expected to begin in May 1995.
  • Installation is planned for the third quarter of 1996.
  • First production is expected in December 1996.

Sources:

  • BUSINESS WIRE, April 17, 1995