Mexico's Oil Regulator Approves Shell's Deepwater Oil Exploration Plans In Gulf Of Mexico

Mexico's Oil Regulator Approves Shell's Deepwater Oil Exploration Plans in Gulf of Mexico

Mexico's independent oil regulator, National Hydrocarbons Commission (NHC), approved UK-Dutch oil and gas company Royal Dutch Shell Plc's plans for deepwater energy exploration in the Gulf of Mexico, the regulator said

MEXICO CITY (UrduPoint News / Sputnik - 12th June, 2019) Mexico's independent oil regulator, National Hydrocarbons Commission (NHC), approved UK-Dutch oil and gas company Royal Dutch Shell Plc's plans for deepwater energy exploration in the Gulf of Mexico, the regulator said.

According to NHC, the company will invest at least $397 million into the project over the next four years. If the drilling proves successful, the oil company's investments may grow to $1.3 billion.

The drilling will begin as soon as by the fourth quarter of this year and extend through late 2022.

At least four wells are mentioned for exploration in the contract, but up to eight wells are included in the plans.

Shell won exploration and production rights to nine deepwater blocks in the Gulf of Mexico in early 2018.

In late May, Shell announced that had launched its Appomattox deepwater platform in the US territorial waters in the Gulf of Mexico ahead of schedule. The platform's current expected oil output stands at 175,000 barrels per day.

Your Thoughts and Comments