U.K.-based BP Plc is considering sanctioning its deepwater Kaskida project in the Gulf of Mexico (GoM) by 2024, CEO Murray Auchincloss said during CERAWeek by S&P Global.
“We're hopeful to get to sanction on Kaskida this year,” Auchincloss said during a March 19 plenary session with S&P Global Vice Chairman Daniel Yergin.
Auchincloss said Kaskida is 100% owned by BP and has 9.2 Bbbl in place. The CEO said he’s also excited about that and other projects in the U.S. GoM.
“I think we stand the chance to open up the next great basin in the world, which is the Paleogene, here in our backyard in the United States. So that's a very exciting thing,” Auchincloss said.
The Kaskida Field, discovered in 2006, is in Keathley Canyon blocks 292-291 in water depths of 5,859 ft.
BP envisions that development of portions of the Paleogene trend will necessitate next-generation tools and systems for operating in high-pressure, high-temperature reservoirs, according its website.
In terms of onshore U.S. opportunities, the BP chief highlighted massive shale potential of around 22 Tcf of natural gas in the Hayesville and Eagle Ford shales that could be developed.
In terms of BP’s strategy, Auchincloss confirmed that it hasn’t changed.
“Our strategy that we laid out in 2020 continues. We had to make adjustments along the way as we’ve learned things. But the strategy and the end destination remain unchanged: move from an international oil and gas company to an international energy company,” Auchincloss said, acknowledging complications along the way.
“We're going to become a much simpler company … we'll be more focused as well,” Auchincloss said. “The last years—2020 through 2023—were about originating ideas, and now we're very much going to focus on execution, focus on construction.”
Recommended Reading
US Finalizes Big Reforms to Federal Oil, Gas Drilling
2024-04-12 - Under the new policy, drilling is limited in wildlife and cultural areas and oil and gas companies will pay higher bonding rates to cover the cost of plugging abandoned oil and gas wells, among other higher rates and costs.
Everywhere All at Once: Woodside CEO Touts Current Global Portfolio
2024-03-05 - Meg O’Neill, the CEO of Australian energy giant Woodside Energy, is overseeing the “next wave” of growth projects around the globe, including developments in the Gulf of Mexico, offshore Senegal and further LNG expansion.
Repsol Eyes Increasing Core US Upstream Business
2024-02-29 - Madrid-based Repsol SA will invest €$2.2 billion (US$2.38 billion) between 2024-2027 on its unconventional assets in the Marcellus and Eagle Ford as it focuses on increasing its core U.S. upstream business platform.
CERAWeek: Energy Secretary Defends LNG Pause Amid Industry Outcry
2024-03-18 - U.S. Energy Secretary Jennifer Granholm said she expects the review of LNG exports to be in the “rearview mirror” by next year.
From Satellites to Regulators, Everyone is Snooping on Oil, Gas
2024-04-10 - From methane taxes to an environmental group’s satellite trained on oil and gas emissions, producers face intense scrutiny, even if the watchers aren’t necessarily interested in solving the problem.