PowerNap (MC943) - Shell

PowerNap (MC943) - Shell Oil and Gas Asset Profile

Location

• The PowerNap (MC943) project is located in the Federal Offshore, United States, specifically in the southern Mississippi Canyon, Block MC943 of the Gulf of Mexico. It is approximately 16 kilometres (10 miles) east of Vito and 27 kilometres (17 miles) southeast of the Mars Olympus platform.

Coordinates

• The exact coordinates for the asset are 28.036, -88.992 (WGS 84).

Operator and Owner

• The project is operated and owned by Shell Offshore, a subsidiary of Shell plc.

Discovery and Development

• The PowerNap field was discovered by Shell in December 2014. The discovery encountered over 122 net metres (400 feet) of oil-bearing reservoir sands in the Upper and Lower Miocene formations.
• The Final Investment Decision (FID) for the project was made in 2019.

Production

• Production at PowerNap began in 2022. Initially, Shell expected the project to produce up to 35,000 barrels per day of oil equivalent at peak rates. However, due to the reservoir exhibiting lower permeability, the peak production rate was revised to 20,000 barrels per day in 2022.

Reserves

• As of 2023, the reserves at PowerNap are estimated at 90 million barrels of oil equivalent (boe).

Infrastructure and Development

• The PowerNap project is a subsea tie-back to the Shell-operated Olympus production hub. The development involves integrated engineering, procurement, construction, and installation (iEPCI) of subsea hardware and infrastructure. This includes subsea tree systems, subsea distribution controls, topside controls, flying leads, and connectors for three wells, as well as the supply of 20 miles of production umbilical and flowlines.

Contract and Installation

• TechnipFMC was awarded the iEPCI contract for the project. The installation was expected to be completed by late 2021, although the actual completion date aligns with the start of production in 2022. The contract was valued between $75 million and $250 million.

Geology

• The field is characterized by oil-bearing reservoir sands in the Upper and Lower Miocene formations, with over 122 net metres (400 feet) of reservoir sands encountered during the discovery phase.

Economic and Operational Context

• The project is part of Shell's deepwater portfolio in the Gulf of Mexico and is expected to contribute significantly to the company's oil and gas production. The reduced production rates due to lower reservoir permeability have impacted the overall production and recoverable resources, but no public reserves revision has been made as of March 2022.

Additional Resources

• For more detailed data, including interactive maps, downloadable datasets, and summary data, the Global Oil and Gas Extraction Tracker on the Global Energy Monitor website can be consulted. Additionally, Wood Mackenzie provides a comprehensive report on the PowerNap project, including key facts, location maps, well data, reserves, and economic analysis.