E&P Highlights: Jan. 13, 2025

From TotalEnergies beginning work on a new facility in Iraq to a look at oil and gas activity in the Tenth Federal Reserve District, below is a compilation of the latest headlines in the E&P space.

Activity

Chevron Announces Whale Facility Startup in Gulf of Mexico

Shell’s Whale floating production facility in the Gulf of Mexico (GoM) has reached first oil less than eight years after the field’s discovery in 2017, Shell subsidiary Shell Offshore Inc. said Jan. 9.

The Whale production facility, located in the Alaminos Canyon Block 773, is operated and 60% owned by Shell Offshore. Chevron USA Inc. owns the other 40%.

The development is adjacent to the Shell-operated Silvertip field and approximately 16 km from the Shell-operated Perdido platform.

Estimated recoverable resource volume for Whale is at 480 MMboe with an estimated peak production of 100,000 boe/d. The estimate of resource volumes is classified as 2P under the Society of Petroleum Engineers’ Resource Classification System.

"[Whale] will make a significant contribution to our commitment to bring projects online, with a total peak production of more than 500,000 barrels of oil equivalent per day from 2023 through 2025," said Zoë Yujnovich, Shell integrated gas and upstream director.

The Whale Field features a semi-submersible production host in more than 2,600 m of water with 15 wells to be tied back to the host. Its design resembles Vito, a four-column semi-submersible host facility in the GoM that started production in 2023, but with 30% lower greenhouse gas intensity over its life cycle.

TotalEnergies Starts Construction of Gas Treatment Unit in Iraq

TotalEnergies and partners Basra Oil Co. and QatarEnergy have begun the construction of an associated gas processing facility in the Ratawi field in Iraq, the companies announced Jan. 10.

The ArtawiGas25 facility, part of the Gas Growth Integrated Project (CGIP), is 45% owned and operated by Total. Basra owns 30% and QatarEnergy owns the remaining 25%.

GGIP’s large scale gas processing plant’s first phase will process 300 MMcf/d of gas from three oil fields to supply local power plants for 1.5 gigawatts of generation capacity. A significant reduction in gas flaring at the Ratawi field is expected by the end of 2025.

ArtawiGas25 is expected to cost around US$250 million and the GGIP is expected to cost US$10 billion.

AIQ, Ecopetrol Explore Opportunities in Colombia

AIQ, the Abu Dhabi-based AI company, has signed a strategic collaboration agreement (SCA) with Ecopetrol, the national oil company of Colombia, to explore the deployment of AIQ’s solutions in Ecopetrol’s operations.

The SCA will initially be in effect for 24 months, with the possibility of extension through mutual agreement.

AIQ’s products for the energy sector include an autonomous well control solution for gas-lifted wells and a reservoir visualization and performance application.

Contracts and company news

Denso Introduces New Epoxy Coating for Pipelines

Denso Inc., which makes corrosion prevention and sealing technologies, has introduced the Archco 456, an epoxy coating for pipeline applications.

The Archco 456’s two-component, high-solids epoxy formulation is designed to improve durability and long-lasting performance, particularly in challenging environments such as natural gas pipelines. It requires only a single-coat application, the company said.

Specifically engineered for applications where turbulence reduction and flow efficiency are critical, Archco 456 is intended as an internal lining for pipelines in energy sectors including oil and gas.

Loadmaster Opens Field Service Operations in Brazil

Loadmaster Industries, a provider of manufacturing, engineering and construction solutions for the global energy industry, announced the launch of its field service operations in Rio de Janeiro, Brazil.

The company said the establishment of Loadmaster Brasil Ltda. marks a milestone in its long-term growth strategy. The new operation is an OEM with API 4F and API 8C certifications. The expansion into Brazil will enable the company to offer support, field services, and engineering expertise.

The expansion “allows us to better support our customers with faster response times and local expertise, while also strengthening our presence in a key energy market,” said Loadmaster CEO David Russell. “We're looking forward to building trusted relationships and contributing to the growth of the industry in the region."

Vogelsang Introduces New Line of Rotary Lobe Pumps

Vogelsang recently launched a line of positive displacement pumps, the EP series, designed specifically for typical requirements of industrial pumping applications, including those of the oil and gas market.

The EP series features a heavy-duty gearbox that allows for a uniform pressure output of up to 260 psi (18 bar). EP series pumps consist of a one-piece housing that can reliably pump abrasive, chemically aggressive and explosive flow media at temperatures of up to 392 F (200 C).

“The EP series’ high-pressure performance and temperature limits make it suitable for applications in the oil and gas industry, paints and coatings, paper manufacturing, glue, sugar production, tank farms, and the petrochemical industry, where our customers previously used screw, gear, and progressing cavity pumps,” Vogelsang USA President Russ Boring said.

TenarisHydril Connection Debuts in Canada

The TenarisHydril TBG1 connection has successfully completed its first field deployment in Alberta, Canada. With an average running speed of 35 joints per hour, 104 joints were run with zero rejects and no breakouts.

The TBG1 connection has been designed as an alternative to the API external-upset-end (EUE) tubing connection commonly used for mature fields and heavy oil production. It said the design of the connection significantly reduces internal erosion.

Regulatory updates

Tenth District Energy Activity Fell at a Steady Pace

Energy activity fell steadily while expectations rose in the fourth quarter, according to the Federal Reserve Bank of Kansas City’s energy survey, which monitors oil-and-gas-related firms located or headquartered in the Tenth Federal Reserve District.

“District drilling and business activity posted a decline for the eighth consecutive quarter in Q4, but is expected to rebound in coming months,” said Megan Williams, associate economist and survey manager at the Kansas City Fed. “The majority of firms expect continued growth in employment levels and capital expenditures heading into this year.”

The Tenth District encompasses the western third of Missouri; all of Kansas, Colorado, Nebraska, Oklahoma and Wyoming; and the northern half of New Mexico.