Contango Oil & Gas Company has received all of the permits required to begin drilling its Eagle prospect at Ship Shoal 121/134, and the company is waiting on the jackup Hercules 205 to finish work for another operator in mid-to-late December 2011. Thereafter, Contango will drill its Fang prospect at South Timbalier 75.

ATP Oil & Gas Corporation reported that completion operations continue at well No. 4 in Green Canyon 300, where prior drilling already has encountered oil pay sands. Production is expected to commence in the third quarter of 2012.

W&T Offshore, Inc. has closed its acquisition of Shell Offshore’s 64.3% interest in the Fairway Field, along with a 64.3% interest in the associated Yellowhammer gas processing plant, with an effective date of September 1, 2010. This acquisition was part of a larger transaction between Shell and W&T for three Gulf of Mexico deepwater producing fields known as Tahoe, SE Tahoe, and Droshky. As of the close date, the adjusted purchase price paid for the Fairway Field and Yellowhammer gas plant was about $36.7 million. The Fairway Field is located in the shallow state waters south of Mobile Bay, Alabama, and the Yellowhammer plant is located onshore Alabama.

ATP Oil & Gas reported oil and gas production for the second quarter 2011 was 2.1 MMboe compared to 1.9 MMboe for second quarter 2010, an 11% increase. Average prices were up 68% over the same period a year ago. Oil represented 68% of total production for second quarter 2011, compared to 48% in second quarter 2010.

Contango Oil & Gas Company reported the company is still on schedule for production to begin at its Vermilion 170 (Swimmy) discovery in September 2011 at an estimated rate of 15 MMcfe/d net. ...

Sarost, S.A. which purchased jackup ENSCO 60 in November last year, has secured a three-year contract from TOPIC, S.A., a Tunisian oil and gas company, starting in January 2012. Drilling is to be carried out at the company’s Halk el Menzel concession in the Gulf of Hammamet basin offshore Tunisia. Sarost has renamed the rig Jawhara 5, and it is currently at the Signal International yard in Port Arthur, Texas. It is scheduled to depart the Gulf this December.

Rowan says it is in the process of crewing up jackup Rowan Alaska and will bring the rig back into the marketed fleet. The contractor is understood to be in discussions with multiple operators regarding upcoming work, and rumors are that McMoRan O&G could use it for one of the option wells it currently has on its contract with jackup Rowan Louisiana. In addition, market reports say Rowan could now end up taking newbuild jackup Joe Douglas to Saudi Arabia for the three-year contract the company has with Saudi Aramco, but that no final decision has been made. Rowan is attempting to speed up delivery of the rig, which is currently scheduled for mid-September. Rowan previously had designated either the ...

Seahawk Drilling has recently secured several new contracts and extensions for its jackup fleet. First, Great GulfCan has signed up to take the Seahawk 2001 for a 90-day plus three, 90-day options program. Operations in the state waters in the High Island area are due to begin this week. The firm portion of the work will keep the rig working to mid-July. Next, PetroQuest Energy has inked a deal to take the Seahawk 2004 for a three-well contract in Ship Shoal Block 72. The 90-day program is scheduled to begin in late June or early July after the current contract with Walter O&G is completed. Walter still has around 20days left on its current well in West Cameron Block 29, which will be followed by a 60-day stint in Ship Shoal Block 189. Breton Energy will take jackup Seahawk 2007 for a 60-day well plus an unpriced option in West Cameron Block 71 starting around mid-June. The rig has just over 60 days remaining on its current contract with Castex Energy in Eugene Island Block 224. The rig is now next available around mid-August. Arena Offshore has exercised the first of two priced options on its contract with the Seahawk ...

Contango Oil & Gas Company has drilled a successful exploratory well at its Swimmy prospect on Vermilion 170. The company estimates this well to have 48 BCF of natural gas and 1.2 mmbbls of condensate.

Plains Exploration & Production Company (PXP) is evaluating alternatives to separate its deepwater and onshore businesses, which include separately capitalizing its deepwater business through a joint venture or outside capital and then either spinning-off or divesting these assets.

Shipyard work has been completed on jackup Spartan 303 and the rig is now on location in Breton Sound Block 33 to begin its one-well plus options contract with Century Exploration. The firm portion of the contract should keep the rig working for around 90 days to the second-half of May. Jackup Spartan 151 had been on the Breton Sound location, but was moved to the Gulf Copper shipyard in Galveston when Spartan was awarded a two-year contract by Escopeta O&G for work off Alaska with the rig. Upgrades are continuing and the rig is expected to depart the U.S. Gulf around mid-March.

Hercules Offshore has received contracts for two previously idle jackups and secured an extension for another. First, Stone Energy will pick up the Hercules 201 for a 10-day P&A, with work scheduled to begin later this week. The rig had been hot stacked in West Cameron Block 38 since mid-December. Hall-Houston has taken the previously idle Hercules 251 for a 40-day contract in Eugene Island Block 266. The contract began over the weekend and will keep the rig busy through March. It had been stacked in West Cameron Block 38 for the past two weeks. Finally, ...