Stampede (GC468) - Hess

Stampede (GC468) - Hess Oil and Gas Asset Profile

Location

The Stampede oil and gas project is located in the Gulf of Mexico, specifically in the Green Canyon Blocks 468, 511, and 512. It is situated approximately 115 miles south of Fourchon, Louisiana, and 109 miles from the shore, at a water depth of about 3,500 feet (1,067 meters).

Project Details

• Operator and Ownership: The project is operated by Hess Corporation, which holds a 25% working interest. Other partners include Union Oil Company of California (a subsidiary of Chevron), Statoil (now Equinor), and Nexen Petroleum Offshore, each holding a 25% interest.
• Discovery and Development: The Knotty Head and Pony fields, which comprise the Stampede project, were discovered in 2005 and 2006, respectively. Initially, these fields were to be developed separately, but in 2012, Hess and its partners merged the projects under the name Stampede. The front-end engineering and design (FEED) began in the second quarter of 2013, and the final investment decision (FID) was made in October 2014.

Geology and Reserves

• Reservoirs: The oil and gas reserves are located within the Miocene reservoirs at a depth of approximately 30,000 feet.
• Reserve Estimates: The combined recoverable reserves of the Knotty Head and Pony fields are estimated to be up to 350 million barrels of oil equivalent (mboe). The field has an estimated life of 15 years.
• Specific Reserves:
  • As of 2019, the remaining reserves were estimated at 214.1 million barrels of oil and 3,044.03 million cubic meters of gas.

Production

• Production Capacity: The project includes six subsea production wells and four water injection wells tied back to a tension leg platform (TLP). The TLP has a production capacity of 80,000 barrels of oil per day (bopd), 100,000 barrels of water injection per day, and 120 million standard cubic feet per day (mmscfd) of gas.
• Production History:
  • Cumulative production as of 2019 was 16.9 million barrels of oil and 240.69 million cubic meters of gas.
  • Annual production rates were 11.58 million barrels of oil and 166.54 million cubic meters of gas in 2020, and 8.78 million barrels of oil and 126.04 million cubic meters of gas in 2022.
• Peak Production: Peak production is expected in 2025, with the field anticipated to continue production until it reaches its economic limit in 2044.

Infrastructure

• Tension Leg Platform (TLP): The TLP was installed in May 2017, and first oil production was achieved in January 2018. The platform supports gross topsides processing and has a topsides weight of approximately 11,500 tons.
• Contractors: Modec International managed the engineering, procurement, construction, and installation of the hull and mooring systems. Wood Group Mustang was responsible for the FEED for the TLP.

Operational Incidents

• In September 2018, an incident occurred due to a gas release from a sight glass on the Flash Gas Compressor (FGC) 2-A Gas Filter Coalescer. The incident resulted from four loose fastening bolts and led to a platform shut-in. No injuries were reported, and the issue was resolved with repairs and additional inspections.

Economic and Environmental Considerations

• Investment: The project is expected to require an investment of $6 billion.
• Environmental and Safety: The project is subject to regulatory oversight by the Bureau of Safety and Environmental Enforcement (BSEE), which has investigated incidents and ensured compliance with safety standards.