Shell Announces Oil Discovery in Gulf of Mexico

Integrated energy major Royal Dutch Shell has discovered oil at the Vicksburg prospect, which is in 7,500 feet of water in the DeSoto Canyon blocks 353 and 397 and Mississippi Canyon block 393, in the eastern Gulf of Mexico.

The discovery well was drilled to a depth of approximately 25,400 feet and encountered a hydrocarbon column of approximately 300 feet.

Transocean’s semi-submersible Deepwater Nautilus, on contract to Shell, was used to drill the well. Shell is currently analyzing and evaluating the well data to determine next steps.

Annell Bay, vice president of exploration for Shell in the Americas, said: "The results from Vicksburg are encouraging. We are excited about the eastern Gulf of Mexico (EGOM) and our ability to become a key player in this emerging area. Shell has a significant lease holding in the EGOM from which we continue to mature opportunities for drilling. We were also an active bidder in the EGOM during Lease Sale 205 where we were apparent high bidder on 36 blocks."