Talos Energy on the lookout for offshore growth opportunities
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Offshore Business Strategies Special Report 2025
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Talos Energy says it plans to position itself as a leading pure-play offshore exploration and production company in multiple basins.
Paul Goodfellow, who joined as president and CEO in March, said he and his team had immediately started on a review of the company's business, potential growth prospects and anticipated market trends.
The aim has been to identify new opportunities aligned with the company’s strengths, capabilities and industry position.
He said, “We anticipate a shift in the global exploration and production market, with offshore basins expected to play an increasing role in global oil production. We view this anticipated shift as a unique opportunity to increase our scale through disciplined execution and selective accretive growth opportunities.”
Talos' new strategy features three main objectives:
- Improve the business on a daily basis. The company is targeting an increase in annual cashflow of about $100 million in 2026, through improvements to its existing operations in terms of capital efficiency, margin enhancement, commercial opportunities and general organizational enhancements.
- Growing production and profitability through investing in high-margin projects, complemented by accretive bolt-on acquisitions in deepwater basins.
- Building a long-lived, scaled portfolio through a measured approach to assessing opportunities both in the US Gulf of Mexico and other conventional offshore basins.
The board also intends to prioritize investments in projects that generate strong returns, returning up to 50% of annual free cash flow to shareholders while maintaining a strong balance sheet.
