Total agrees exploration partnership with Chevron

Total agrees exploration partnership with Chevron

Sep 24, 2017
2 min read
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Total has signed an exploration agreement with Chevron that covers 16 blocks in the deepwater Gulf of Mexico (GoM) that will see the French oil giant take over seven prospects operated by Chevron in GoM and expands its presence in the area.

The associated prospects are located in two promising plays and areas of the GoM: Wilcox in Central GoM next to the Anchor discovery, and Norphlet in Eastern GoM nearby to the Appomattox discovery. Total’s participation in these wells will be between 25 per cent and 40 per cent.The first of these wells was spudded late July on the Ballymore prospect in Mississippi Canyon.

Arnaud Breuillac, president Exploration & Production said: "This agreement, together with the recently announced participation in the Jack field as part of the Maersk Oil acquisition, increases Total’s footprint in the USA GoM where it can apply its exploration expertise and deepwater technologies. Total values Chevron’s performance as a GoM deepwater company and this agreement expands a successful co-ownership already in place on the Tahiti field."

Valentina Kretzschmar, director, Corporate Analysis, Wood Mackenzie, commented: “Total is sharpening its long-term focus by increasing its exposure to deepwater exploration and renewables. The new Chevron partnership could revitalise Total’s portfolio in the GoM.”

In the Gulf of Mexico, Total focuses on the deepwater with a participation in two producing fields, Tahiti with 17 per cent, operated by Chevron, and Chinook with 33.33 per cent, operated by Petrobras, as well as in the North Platte with 40 per cent, operated by Cobalt International.