The GOM Lease Sale 250 results were reported this morning. As a whole there were 159 bids on 148 tracts, with a total of $124.7MM(US) high bids and $139.1MM(US) total bids. There were 33 companies that participated with 24 walking away with new acreage (Figure 1). More detailed information from the DrillingInfo scouts about each block bid & all awards at the bottom of the article.
Most companies won everything they went after as there was only 7 contested blocks. All had 2 bids with the exception of MC 509 with three bids. The block was awarded to LLOG; the only block they bid solo. There were 10 blocks with joint bids, with LLOG leading the partner game forming alliances with 5 companies for the 250 Lease Sale. Total had the highest bid on MC 697, beating Chevron with their just over $7MM(US) offering. Closest bid was on MC 513, where Hess squeaked it out for an additional $3,001(US)over LLOG and partners Ridgewood & RedWood. The second closest block was fought over by 2 supermajors, MC 787, with $26,744(US) granting Chevron victory over Exxon.
BP came out strong, awarded the most blocks in the sale (27); showing their interest in continuing operations in the GOM. Surprisingly, Anadarko didn’t participate in the sale, while their big competitors BP, Chevron & Shell were highly active. BP and Shell won on all blocks they sought after (27 & 16) while Chevron won 24 and lost 5.
EnVen & W&T offshore showed some strategy change to their current portfolios; participating in the sale yielded 6 & 8 blocks respectively.
Stay tuned for more from DrillingInfo from the GOM area as we will published a GOM Article Series over the next few months covering the happenings in the GOM including results from the upcoming May Mexico lease sale and August 251 lease sale.
Interested in learning more?
Please contact the DrillingInfo GOM Team:
Donald Campbell, Senior Analyst – Frontier North America [email protected]
Tom Liskey, Regional Mgr – Americas [email protected]
Robyn Marchand, Technical Advisor – DrillingInfo [email protected]
© Drilling Info, Inc. This report is the exclusive property of Drillinginfo It may be used only in accordance with a current agreement between the user and Drillinginfo. No part of this report may be reproduced, used, copied, modified, propagated, or distributed except in accordance with that agreement. Unauthorized use of all or any part of this report may violate copyright, trademark, trade secret, and/or other laws and is subject to civil as well as criminal sanctions.
THIS REPORT IS PROVIDED “AS-IS” AND ALL WARRANTIES ARE EXPRESSLY DISCLAIMED. THIS REPORT IS A SUPPLEMENT TO, NOT A SUBSTITUTE FOR, THE KNOWLEDGE, EXPERTISE, SKILL, AND JUDGMENT OF PROFESSIONALS. THE USER ACCEPTS ALL RISKS IN USE OF THIS REPORT INCLUDING BUT NOT LIMITED TO ANY INVESTMENT, ACQUISITION, DRILLING, WELL TREATMENT, PRODUCTION OR FINANCIAL DECISIONS. THIS REPORT IS NOT TRADING ADVICE, A TRADING RECOMMENDATION, OR TRADING INFORMATION. IN NO EVENT SHALL DRILLINGINFO OR ANY OF ITS AFFILIATES BE LIABLE UNDER ANY LEGAL THEORY, WHETHER IN TORT (INCLUDING NEGLIGENCE), CONTRACT, STRICT LIABILITY, STATUTORY OR OTHERWISE, FOR ANY DAMAGES EXCEEDING $1,000 OR ANY SPECIAL, INCIDENTAL, CONSEQUENTIAL, EXEMPLARY, PUNITIVE OR INDIRECT DAMAGE OF ANY KIND, EVEN IF APPRISED OF THE POSSIBILITY OF SUCH DAMAGES IN ADVANCE.