Chevron, the world’s largest oil and gas company, has approved the Ballymore project in the deepwater Gulf of Mexico.
Chevron stated the project would be developed as a three-mile undersea tieback to the existing Chevron-operated Blind Faith platform, with a design capacity of 75,000 barrels of crude oil per day.
“With around 6 kg CO2 equivalent per barrel of oil equivalent, Chevron’s Gulf of Mexico production is a fraction of the global industry average,” said Steve Green, president of Chevron North America Exploration and Production.
“Ballymore is intended to contribute a stable source of US-produced energy to help meet global demand once it is completed.” “The project is meant to reduce development costs by using existing operating infrastructure, using a subsea tieback technique, standardized equipment, and repeatable technical solutions,” Green noted.
Ballymore will be Chevron’s first development in the US Gulf of Mexico’s Norphlet trend. The project will be located in the Mississippi Canyon area, roughly 160 miles southeast of New Orleans, in around 6,600 feet of water.
Ballymore’s potentially recoverable oil-equivalent resources are expected to be more than 150 million barrels, according to the supermajor.
The project, which features three production wells connected to the neighboring Blind Faith complex by a single flowline, will cost around $1.6 billion. The production of oil and natural gas will be delivered using existing infrastructure. The first oil will be produced in 2025.
The Ballymore project is operated by Chevron subsidiary Chevron U.S.A. Inc., which has a 60% operating stake. TotalEnergies, a co-owner, owns 40% of the company.
“Our exploratory efforts in the Gulf of Mexico have resulted in sanctioning the Ballymore field development only four years after its discovery,” stated David Mendelson, Senior Vice President Americas of TotalEnergies Exploration & Production. “This choice matches TotalEnergies’ goal of focusing on oil projects with low breakeven and low emissions thanks to its tie-back development philosophy.”
In January 2018, Chevron announced “a major oil discovery” at the Ballymore project, which company dubbed “significant” at the time. Worley received an engineering and procurement services contract from the company in April 2021 to offer brownfield modification services for the Blind Faith platform.
The Blind Faith platform, which stands approximately 30 floors tall and weighs over 40,000 tons, went into production in 2008. Chevron’s deepest water development anywhere in the world at the time of its construction.
Chevron reported $6.5 billion in quarterly profits in April, the largest in ten years, thanks to increased commodity prices and a 10% increase in U.S. output over the same period last year.
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