BP drills deep for ‘giant’ oil discovery in Gulf of Mexico

By Calvin Palmer

British oil company BP today announced a “giant” oil discovery in the Gulf of Mexico after drilling to a depth of 35,055 feet.

The Tiber Prospect well is one of the deepest wells ever drilled by the oil and gas industry, the company said in a statement.

BP has a 62 percent stake in Tiber with co-owners Brazilian oil giant Petrobas (20 percent) and U.S company ConocoPhillips (18 percent).

Early estimates suggest the Tiber could deliver more than 3bn barrels, but BP said more test will be needed on the well, located 250 miles south east of Houston, to determine its size and commercial viability.

The industry definition of a “giant” oil find refers to a field from which more than 500 million barrels of oil or gas equivalent can be recovered.

“Tiber represents BP’s second material discovery in the emerging Lower Tertiary play in the Gulf of Mexico, following our earlier Kaskida discovery,” said Andy Inglis, BP chief executive for Exploration and Production.

Kaskida contains around 3bn barrels of oil and was discovered three years ago.

“These material discoveries together with our industry leading acreage position support the continuing growth of our deepwater Gulf of Mexico business into the second half of the next decade,” Inglis said.

BP is the biggest producer of oil and gas in the Gulf of Mexico with current net production of more than 400,000 barrels of oil equivalent per day and it could rise to 650,000 barrels daily within the next 15 years thanks to the Kaskida and Tiber wells.

[Based on reports by AFP and The Daily Telegraph.]

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