- Strategic growth project represents bp’s ongoing commitment to invest in this prolific high-margin basin, an important element of growing the value of bp
  - New platform expected to have nameplate production capacity of 80,000 barrels of oil per day
  - Hub to leverage simplified, standardized and cost-efficient design, planned to be replicated in future projects
  - Unlocks potential for development of 10 billion barrels of discovered resources in place in Gulf of Mexico Paleogene

bp has taken a final investment decision on the Kaskida project in the US Gulf of Mexico. This demonstrates bp’s long-term commitment to deliver secure, affordable and reliable energy.

Kaskida will be bp’s sixth hub in the Gulf of Mexico, featuring a new floating production platform with the capacity to produce 80,000 barrels of crude oil per day from six wells in the first phase. Production is expected to start in 2029.

Gordon Birrell, bp’s executive vice president of production and operations:

“Developing Kaskida will unlock the potential of the Paleogene in the Gulf of Mexico for bp, building on our decades of experience in the region,” said Gordon Birrell, bp’s executive vice president of production and operations.

“Technology has and will continue to play a pivotal role in propelling Kaskida from discovery to production. Together with the other resources we have in the Paleogene, we expect it to prove to be a world-class development. Today is a critical step in realizing its potential.“

Owned 100% by bp, the Kaskida field has discovered recoverable resources currently estimated at around 275 million barrels of oil equivalent from the initial phase. Additional wells could be drilled in future phases, subject to further evaluation.

The project is fully accommodated within bp’s disciplined financial framework, reflecting bp’s drive to focus on value and returns.

Located in the Keathley Canyon area about 250 miles southwest off the coast of New Orleans, the Kaskida project unlocks the potential future development of 10 billion barrels of discovered resources in place across the Kaskida and Tiber catchment areas.

bp plans to leverage existing platform and subsea equipment designs that can be replicated in future projects to drive cost efficiencies across Kaskida’s construction, commissioning and operations.

“By employing an industry-led design solution, Kaskida will be simpler to construct and simpler to operate, enhancing safety and delivering greater value for bp,” said Andy Krieger, bp’s senior vice president, Gulf of Mexico and Canada.

Kaskida is in a prime location, with a stable fiscal regime and access to market. It will also be bp’s first development in the Gulf of Mexico to produce from reservoirs that will require well equipment with a pressure rating of up to 20,000 pounds per square inch (20K).

Advancements in 20K drilling technology coupled with updated seismic imaging are enabling bp to safely develop Kaskida and to progress plans to develop other fields such as Tiber, which is expected to advance to a final investment decision next year.

Today’s announcement demonstrates bp’s near-term priorities in action - moving forward a key high-value growth project and supporting its drive to deliver as a simpler, more focused, higher value company.

Notes:

  - bp discovered the Kaskida field in 2006 and has since worked closely with the offshore industry to help develop 20K rig technology necessary to complete high-pressure wells.
  - Kaskida, Tiber and nearby discoveries combined have an estimated 10 billion barrels of discovered resources in place.
  - bp is one of the leading producers in the Gulf of Mexico with more than 60 years of experience operating in the basin.
  - bp operates five platforms in the Gulf of Mexico: Argos, Atlantis, Mad Dog, Na Kika and Thunder Horse.
  - bp produced circa 300,000 barrels of oil equivalent per day from the Gulf of Mexico in 2023.

About bp

bp (NYSE:BP) is one of the world's largest oil and gas companies, serving millions of customers every day in more than 80 countries, and employing nearly 85,000 people. BP's business segments are oil and gas exploration & production, and refining & marketing. In alternative energies, BP has low- and no-carbon wind and biofuels businesses. Through these activities, BP provides fuel for transportation; energy for heat and light; services for motorists; and petrochemicals products for plastics, textiles and food packaging. It has strong positions in many of the world's hydrocarbons basins and strong market positions in key economies.