PRODUCTION STARTS AT WORLD'S DEEPEST OFFSHORE FACILITY

By NBF NEWS

Shell has produced its first oil and natural gas from the Perdido Development, the world's deepest offshore drilling and production facility.

Located in an isolated, ultra-deep sector of the Gulf of Mexico, Perdido marks a new era in innovation and safely unlocks domestic sources of energy for United States' consumers.

According to Shell, the facility sits in approximately 2,450 metres (8,000 feet) of water, which is roughly equivalent to six Empire State Buildings stacked one atop the other, and will access reservoirs deep beneath the ocean floor. Perdido smashes the world water depth record for an offshore platform by more than 50 per cent.

'Perdido is an impressive project in a strong Gulf of Mexico portfolio that continues to grow,' said Upstream Americas Director, Shell Energy Resources Company, Marvin Odum. 'Perdido presented technical challenges unlike we've ever seen in the Gulf of Mexico. Shell's team used its expertise to open this new frontier and confront complex reservoir characteristics, extreme marine conditions, and record water depth pressures. Perdido demonstrates what companies like Shell can do when US federal lands and waters are opened to responsible energy exploration and production.'

From the first lease purchase to production, the Perdido Development required an industry workforce of approximately 12,000 people, including employees and contractors. Shell designed, and operates, the Perdido host spar, a floating production facility, which is jointly owned by Shell (35 per cent), Chevron (37.5 per cent), and BP (27.5 per cent).

The facility will produce from the Great White, Silvertip, and Tobago offshore fields, requiring perhaps as many as 35 wells over the life of the fields. Tobago sits in more than 2,900 metres (9,600 feet) of water and surpasses the world depth record for a completed subsea well. In addition, all Perdido subsea fields will utilise a unique and innovative subsea separation and boosting system to enable oil and natural gas recovery.