Offshore staff
HOUSTON -- ATP provided an update on its deepwater E&P activities in the Gulf of Mexico for the first six months of 2006.
Mississippi Canyon block 711 (Gomez - 100% WI)
The third well at Gomez was completed during the third quarter in a new hydrocarbon bearing sand. Installation of a subsea flowline will follow later in the fourth quarter with first production expected in 1Q07.
Drilling is scheduled to begin on a step-out well in 1Q07 and will target approximately 15,500 ft TVD. If successful, this well is expected to be completed and on production in 2Q07.
Production at MC 711 is currently averaging 105 MMcfe/d net. In the first half 2007, the company plans to upgrade the natural gas compression and processing facilities on its floating production platform, with completion expected early in 3Q07. This will increase the facility's capacity 40% to 50% to approximately 200 MMcfe/d net.
Mississippi Canyon blocks 941/942, Atwater Valley block 63 (Telemark Hub - 100% WI)
ATP acquired a 100% working interest in Mississippi Canyon blocks 941/942 and Atwater Valley block 63 in two separate private transactions in the second and third quarters.
Previous drilling at each of these locations indicated presence of recoverable hydrocarbons. Detailed engineering has begun for the development of the discoveries at each of these three blocks.
The hull design of the floating production system will be a MinDOC system that will be fabricated in South Texas. The MinDOC, which was selected over competing technologies because of higher variable load capacity and lower cost, is scheduled for installation in 2008.
Drilling will begin immediately after platform installation from a 2,000 hp platform rig. According to the company's estimates of recoverable hydrocarbons, the Telemark Hub represents ATP's largest property in the Gulf of Mexico.
Garden Banks block 409 (Ladybug - 50% WI)
Ladybug was originally placed on production in September 2001 from two subsea wells. The original reservoirs produced until August 2006 at which time both wells were reentered for additional activities and production.
The No. 1 well was recompleted into a 'behind' pipe proved reservoir in upper sands. The No. 3 well was side tracked to an exploratory up-dip target identified during Ladybug's first five years of production. The well encountered the targeted zone and was successfully drilled and tested. Both wells are expected to begin production this month.
11/3/06
