Shell's Einset Subsea Development Underway

Shell Exploration & Production Company announced the development of Einset, a subsea production system that is located on Viosca Knoll Block 872 approximately 170 miles southeast of New Orleans in the Gulf of Mexico in approximately 3,500 feet of water. Einset is a single well project that is tied back to Shell's SE Tahoe subsea manifold in Viosca Knoll 784, which carries production 12 miles to Shell's Bud Lite platform. The SE Tahoe project was brought on production with in 9 months of project approval. A comparable development schedule is being used for Einset. First production is expected to begin in February 2002. Einset will develop resources from Viosca Knoll Blocks 872 and 873, which were acquired by Shell in OCS Lease Sale 169 in March of 1998. Shell is the operator of Einset. Dominion Exploration & Production, Inc. has a 50% interest. This will be the 27th Gulf of Mexico deepwater field in which Shell has an interest, the largest number of any company. The project is expected to recover in excess of 30 billion cubic feet of gas; peak production rates may reach up to 60 million cubic feet of gas per day.