Another Major Oil Discovery for Louisiana

In January, Chevron announced that it had made its second major oil discovery in less than a year off Louisiana.

According to Jay Johnson, the company’s Senior Vice President for Upstream, “The Anchor discovery, along with the previously announced Guadalupe discovery, are significant finds for us in the deepwater Gulf of Mexico.”

Chett Chiasson, Executive Director of Port Fourchon, said that the discovery will definitely benefit the area. The oil was found approximately 140 miles due south of the Port. Chiasson feels that such discoveries show the deepwater Gulf of Mexico’s potential.

Said Chiasson, “It means good jobs and a good number of high-paying jobs that will continue to be available because of finds like this. This is another deepwater find, which supports the fact that there's going to be more deepwater activity in the Gulf of Mexico.”

The well, on the sea floor at 5,183 feet, is in Green Canyon Block 807. It was drilled to a depth of 33,749 feet. Later this year, appraisal drilling will start, helping the company assess how much gas and oil can be produced from the well.

Said Jeff Shellebarger, President of Chevron North America Exploration and Production Co., “Chevron's leading position in the Gulf, where we are expecting further growth in the near-term from recent project startups at Jack-St. Malo and Tubular Bells, is further underpinned by this discovery. We currently have five deepwater drill ships operating in the Gulf, two of which are focused on exploration activities.”

Chevron is the operator of the prospect and owns a 55 percent interest, with Cobalt International Energy owning 20 percent, and Venari Resources and Samson Offshore Anchor both owning 12.5 percent each.

In December, Chevron began production in the Walker Ridge area at the Jack and St. Malo fields. That well is approximately 250 miles south of Port Fourchon. The wells are roughly 25 miles apart in 7,000 feet of water, and Chevron says that they are expected to produce almost 500 million barrels of oil over a 30-year period.