U.K.-based BP Plc is considering sanctioning its deepwater Kaskida project in the Gulf of Mexico (GoM) by 2024, CEO Murray Auchincloss said during CERAWeek by S&P Global.
“We're hopeful to get to sanction on Kaskida this year,” Auchincloss said during a March 19 plenary session with S&P Global Vice Chairman Daniel Yergin.
Auchincloss said Kaskida is 100% owned by BP and has 9.2 Bbbl in place. The CEO said he’s also excited about that and other projects in the U.S. GoM.
“I think we stand the chance to open up the next great basin in the world, which is the Paleogene, here in our backyard in the United States. So that's a very exciting thing,” Auchincloss said.
The Kaskida Field, discovered in 2006, is in Keathley Canyon blocks 292-291 in water depths of 5,859 ft.
BP envisions that development of portions of the Paleogene trend will necessitate next-generation tools and systems for operating in high-pressure, high-temperature reservoirs, according its website.
In terms of onshore U.S. opportunities, the BP chief highlighted massive shale potential of around 22 Tcf of natural gas in the Hayesville and Eagle Ford shales that could be developed.
In terms of BP’s strategy, Auchincloss confirmed that it hasn’t changed.
“Our strategy that we laid out in 2020 continues. We had to make adjustments along the way as we’ve learned things. But the strategy and the end destination remain unchanged: move from an international oil and gas company to an international energy company,” Auchincloss said, acknowledging complications along the way.
“We're going to become a much simpler company … we'll be more focused as well,” Auchincloss said. “The last years—2020 through 2023—were about originating ideas, and now we're very much going to focus on execution, focus on construction.”