Shell starts deepwater production at PowerNap in the Gulf of Mexico
Shell Offshore Inc., a subsidiary of Shell plc, announced the start of production at PowerNap, a subsea development in the U.S. Gulf of Mexico with an estimated peak production of 20,000 barrels of oil equivalent per day (boed). PowerNap is a tie-back to the Shell-operated Olympus production hub in the prolific Mars Corridor.
“Shell has been producing in the Mars Corridor for more than 25 years, and we continue to find ways to unlock even more value there,” said Zoe Yujnovich, Shell Upstream Director. “PowerNap strengthens a core Upstream position that is critical to achieving our Powering Progress strategy and ensuring we can supply the stable, secure energy resources the world needs today and in the future.”
Shell is the leading deep-water operator in the U.S. Gulf of Mexico, where the production is among the lowest greenhouse gas (GHG) intensity in the world for producing oil. Shell’s global deepwater portfolio represents two core positions in its Upstream business with prolific basins in the US and Brazil, along with a frontier exploration portfolio in Mexico, Suriname, Argentina and West Africa. Shell designs and operates its deep-water projects to be competitive and economically resilient, and since 2015, has reduced unit development costs by 50% and unit operating costs by 40%.