Shell and INEOS Energy make their first discovery in the Gulf of America after confirming the presence of hydrocarbons in the Nashville exploration well, a deep water Norphlet discovery operated by Shell.
The Nashville well, which was drilled into the Norphlet formation, was drilled over five miles below the seafloor, and it found excellent oil in one of the most promising deepwater locations in the Gulf, according to the firms. INEOS acquired a 21% working interest in the discovery, and Shell operates the well with a 79% interest.
This new finding can also be traced back to Shell's nearby Appomattox platform, which is jointly owned by Shell and INEOS – subject to further technological and commercial assessment.
David Bucknall, the CEO of INEOS Energy, described this discovery as an important milestone for the company's U.S. offshore holding.
"This is an excellent outcome for INEOS Energy and an important milestone on the journey of developing our business in the US Gulf, where world-class resources are available and can be developed responsibly. We believe Nashville is an asset that can help develop energy security and supply reliable energy well into the future," Bucknall added.
According to INEOS, the well was drilled using the Deepwater Proteus, which is one of the world's most sophisticated drilling rigs. Additional technical analysis is ongoing to establish the potential and size of the reservoir.
"These results are consistent with what we are expecting from this play," said Heather Osecki, CEO of INEOS Energy's U.S. Gulf operation.
"The drilling outcome in Nashville is indeed encouraging, as it matches what we expected to achieve there. This find represents the first step in realizing our plans to develop what we currently own while further securing our foothold in the Gulf," said Osecki in the statement.