Shell Offshore has announced the final investment decision for Vito, a deepwater development in the U.S. Gulf of Mexico. This decision sets in motion the construction and fabrication of a new, simplified host design and subsea infrastructure.
Vito is expected to reach peak production of approximately 100,000 barrels of oil equivalent (boe) per day, which represents a significant contribution to our continued growth in the Gulf of Mexico. The development currently has an estimated, recoverable resource of 300 million boe. The development will consist of eight subsea wells.
Vito will be Shell’s 11th deepwater host in the Gulf of Mexico and is currently scheduled to begin producing oil in 2021.
“With a lower-cost developmental approach, the Vito project is a very competitive and attractive opportunity industry-wide,” said Andy Brown, Shell Upstream Director. “Our ability to advance this world-class resource is a testament to the skill and ingenuity of our development, engineering and drilling teams.”
In 2015, Shell began to redesign the Vito project, reducing cost estimates by more than 70% from the original concept. Vito’s cost savings are due to the simplified design, in addition to working collaboratively with vendors in a variety of areas including well design and completions, subsea, contracting, and topsides design.
For more information, visit: www.shell.com
25th Apr 2018