Noble Energy, Inc. announced a discovery at the Santiago exploration prospect in the deepwater Gulf of Mexico. The well, located in 6,500 ft of water on Mississippi Canyon 519, was drilled to TD at 18,920 ft. Open-hole logging identified about 60 ft of oil pay in a high-quality Miocene reservoir. Noble Energy is the operator at Santiago with a 23.25% working interest.
ATP Oil & Gas Corporation concluded drilling on the deepwater Mississippi Canyon (MC) 941 A-2 well located at ATP’s Telemark Hub, and all pay sands encountered in the earlier MC 941 A-1 well were present, essentially confirming pre-drill estimates. The main pay sands are about 500 ft structurally higher than the MC 941 A-1 well and 1,000 ft above the original oil-water contact.
Stone Energy Corporation’s board of directors has increased the company’s 2011 capex budget from $425 million to a range of $475-500 million due to a projected increase in production, oil prices, and estimated cash flow, combined with an attractive inventory of capital projects. Stone has additionally increased its 2011 production guidance from 200-220 MMcfe/d to 205-225 MMcfe/d.
Williams Partners, LP has received a contract award from Hess Corporation to provide production handling services in the Tubular Bells field development located in the eastern deepwater Gulf of Mexico. Hess, operator of the Tubular Bells field, will utilize Williams Partners’ proprietary floating-production system Gulfstar FPS.