Genesis Makes Deepwater GOM Transport Deals
Genesis Energy, L.P. reported Monday that it has signed new deepwater Gulf of Mexico (GOM) transportation agreements with Fieldwood Energy LLC and the Ridgewood Energy Corp.-managed entities Ridgewood Katmai, LLC and ILX Prospect Katmai, LLC.
The deals call for Genesis to provide downstream transportation services for 100 percent of the crude oil production associated with the deepwater GOM Katmai field development through the existing Fieldwood-owned Tarantula production platform, Genesis stated.
“The dedication of the Katmai production is an exciting opportunity for us, and we look forward to working with Fieldwood and the other interest owners, as they develop the Katmai fields,” commented Grant E. Sims, Genesis’ CEO, in a written statement.
Located in South Timbalier block 308 in the U.S. GOM, the Tarantula Platform can process up to 25,000 barrels per day of oil from the Katmai field development, noted Genesis. The company added that the Katmai field development is located in blocks 39 and 40 of the Green Canyon area.
Genesis also stated the Tarantula Platform is connected to its 100-percent-owned Tarantula lateral pipeline. The firm noted that crude oil production will be delivered to its 64-percent-owned Poseidon crude oil system for delivery to shore.
According to Genesis, the Katmai field contracts include life of lease dedications. The company also stated that it required no capital to connect Katmai production to its assets. It expects first deliveries of oil during the second quarter of this year.
“This project, which follows our most recent December announcement of the dedication by Murphy Exploration & Production Co. – USA of its crude oil and gas production from its Khaleesi / Mormont and Samurai field developments, is yet another example that illustrates the strategic positioning of our offshore footprint and how our available capacity and multi-market delivery options will allow us to provide Fieldwood and other producers in the Gulf of Mexico with attractive transportation alternatives for many years ahead,” concluded Sims.
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