Magnolia (GB783) - W & T

Location

The Magnolia field is situated in the Gulf of Mexico, approximately 180 miles south of Cameron, Louisiana. It is located in Garden Banks blocks 783 and 784 in the Central Gulf of Mexico.

Operator and Ownership

Originally, the field was operated by ConocoPhillips with a 75% working interest, and Ocean Energy (later Devon Energy after a merger in 2003) held the remaining 25%. However, in early 2020, W&T Offshore acquired a 75% working interest and operatorship in the Magnolia field from ConocoPhillips for $20 million.

Discovery and Production

The Magnolia field was discovered in May 1999 by ConocoPhillips’ Deepwater Pathfinder when it drilled the first well on Garden Banks Block 783. The well was drilled in 4,700 feet of water to a depth of 16,868 feet and encountered hydrocarbon-bearing sections. Production began in 2004, and the initial development was completed in 2006.

Geology and Reserves

The field is located along the southern edge of the Titan Mini-Basin, where multiple deep-water reservoir sands encounter a series of down-to-the-basin and antithetic faults adjacent to salt. The field is estimated to yield more than 150 million barrels of oil equivalent in future production.

Infrastructure

The Magnolia field is developed using a Tension Leg Platform (TLP), which was installed in 4,700 feet of water. At the time of its installation, it was the world's deepest TLP. The platform is connected to the Shell-operated platform hub at Garden Banks 128 via two pipelines: a 16-inch natural gas pipeline and a 14-inch oil pipeline. The gas pipeline has a capacity of 275 million cubic feet per day, and the oil pipeline has a capacity of 75,000 barrels per day.

Design and Capacity

The TLP hull was constructed by Samsung Heavy Industries and designed by ABB Lummus Global Americas and Alliance Engineering. The platform's design capacity is 50,000 barrels of oil per day and 150 million standard cubic feet of gas per day. The topsides were engineered, procured, and managed by Alliance Engineering, incorporating state-of-the-art lightweight design technology.

Contractors and Services

Key contractors involved in the project include:

• Samsung Heavy Industries: TLP hull construction
• Alliance Engineering: FEED, detailed engineering, design, procurement, and construction support for the topsides
• Saipem: Installation of tendons and integrated platform & TLP piles
• Gulf Island Fabrication: 96-man living quarters
• EMCÉ BV: Winches for the installation of the platform
• Duffy & McGovern Accommodation Services: Accommodation units.

Production and Transportation

Oil is transported via the Auger Crude Oil Pipeline, and natural gas is transported through the Shell-operated Garden Banks Gas Pipeline System. The platform is also connected to Shell’s Enchilada platform via these pipelines.

Recent Developments

In 2010, BP acquired a 25% stake from Devon Energy, which was later acquired by Marubeni. However, as of 2020, W&T Offshore operates the field with a 75% working interest.