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We just completed acquiring working interest in the Ursa platform in the GoA – Shell

 

By Christie U. Omonigho

Shell Offshore Inc. and Shell Pipeline Company (SPLC), subsidiaries of Shell plc (Shell), have announced completion of the agreement to increase their stake in the Ursa platform in the Gulf of America from 45.3884% to 61.3484%. The agreement had earlier been announced.

Energy Window International gathered that this acquisition was part of Shell’s strategy to invest in profitable and carbon-competitive oil and gas projects with a strong integrated value chain.

For Shell, deepening its interest in existing assets will largely contribute to maintaining stable liquids production from its advantaged Upstream business.

Shell is the operator of Ursa Tension-Leg Platform (TLP) and holds a 61.3484% working interest (WI) ownership in the asset with BP Exploration & Production Inc. (22.6916% WI) and ECP GOM III, LLC (15.96%).

The transaction according to Shell’s statement will include the following from ConocoPhillips: 11.81% membership interest in the Shell-operated Ursa Oil Pipeline Company LLC, which will be held by SPLC. Shell has also disclosed that the agreement was adjusted following preferential rights election by partners, which also brings Shell’s working interest in the Ursa pipeline from 45.39% to 57.20%. This is added to the 1% WI in the Europa prospect (also operated by Shell), 3.5% Overriding Royalty Interest (ORRI) in Ursa.

Shell US is reported as the leading deep-water operator and the largest producer of oil and gas in the Gulf of America, “focused on opportunities close to its existing assets in the most prolific corridors”.