Page 9 - NorthAmOil Week 11 2023

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Shell announces FID on Dover in US Gulf

GULF OF MEXICO SHELL has announced a final investment deci- about 7,500 feet (2,286 metres) of water.
sion (FID) on its Dover project, a planned sub- Shell has a 100% working interest in Dover.
sea tieback to the Appomattox production hub Shell operates Appomattox with a 79% working
in the deepwater US Gulf of Mexico, which the interest, with China’s CNOOC Ltd controlling
super-major also operates. the remaining 21%.
Dover is expected to start production in late Dover will consist of two production wells
2024 or early 2025 and produce up to 21,000 that operate through a 17.5-mile (28.2km) flow-
Dover will be tied back barrels of oil equivalent per day (boepd) at peak line and riser.
to Shell’s Appomattox rates. Shell is the leading operator in the Gulf for
project. “Shell is a pioneer in the Norphlet reservoir oil and gas production. The region generates
with Appomattox, and we are building on our around 97% of all oil and gas production on the
leading position in the reservoir with Dover,” US Outer Continental Shelf (OCS).
said Shell’s executive vice president for deepwa- Shell’s deepwater portfolio also includes Bra-
ter, Paul Goodfellow. “Last year we took FID on zil, Argentina, Mexico, Suriname, Sao Tome and
Rydberg, another subsea tieback to Appomattox, Principe and Namibia.
and Dover gives us an opportunity to add to our The FID comes as a global offshore oil and
base in this prolific basin.” gas boom is underway. Oil produced offshore
Shell said that the investment at Dover under- is often cheaper, as well as less carbon-intensive.
scores its long-term commitment to the Gulf, Emissions per barrel are often lower because
where it says production has among the lowest of the large scale of the projects involved. And
greenhouse gas (GHG) intensity in the world for although offshore exploration and construction
producing oil. may be pricey, compared with onshore shale or
Dover, which was discovered in 2018, is located oil sands developments, the economies of scale
within Mississippi Canyon, around 170 miles (274 are better, again because of the size of the devel-
km) south-east of New Orleans, Louisiana, in opments involved.™

Venture Global moves ahead with

second phase of Plaquemines LNG

LOUISIANA VENTURE Global LNG will proceed with the commercialise, obtain financing and build our
second phase of the Plaquemines LNG export projects in an extremely competitive market is
terminal in Louisiana, the company revealed a testament to our team’s proven track record of
on March 13. Having secured $7.8bn in project discipline and execution,” he added.
financing, a final investment decision (FID) was Venture Global has already secured author-
made to support the construction of the second isation from the Federal Energy Regulatory
phase of the 20mn tonne per year (tpy) name- Commission (FERC) and non-Free Trade
plate capacity facility. Agreement (FTA) export authorisation from the
In total, $21bn has now been committed to Department of Energy (DoE).
the two phases of the project. It also marks the The first phase of the terminal is anticipated
first LNG project in the country to reach FID in to begin producing LNG by 2024, while the sec-
2023. ond phase is expected to be ready in 2025.
With the financial investment confirmed, the Plaquemines LNG phase two customers
company has now given full notice to construc- include ExxonMobil, Chevron, Energie Baden
tion company KZIV to proceed with the devel- Wuerttemberg, New Fortress Energy, Petronas,
opment of phase two. KZIV is a joint venture China Gas Holdings and Excelerate Energy.
between KBR and Zachry Group. With the go-ahead given to Phase Two,
“Venture Global is proud to announce a pos- Venture Global now has around 70mn tpy of
itive final investment decision for phase two of LNG export capacity in operation, construc-
Plaquemines LNG, less than 10 months after tion or development across the state of Louisi-
sanctioning phase one,” Venture Global’s CEO, ana, including the 10mn tpy Calcasieu Pass, the
Mike Sabel, said. 20mn tpy Delta project, and the 20mn tpy CP2
“Our company’s continued ability to project in addition to Plaquemines.™

Week 11 16•March•2023 www. NEWSBASE .com P9