PERTH (miningweekly.com) – Oil and gas major Woodside on Friday reported the start of production from the Mad Dog Phase 2 project, in the deepwater US Gulf of Mexico.
The $9-billion Mad Dog Phase 2 project extends the life of the prolific Mad Dog oil field discovered in 1998, and is located 200 km off the coast of Louisiana in the US.
With a gross production capacity of up to 140 000 bbl/d of crude oil, Mad Dog Phase 2 is a significant addition to Woodside’s Gulf of Mexico position and will systematically ramp up production through 2023. The new Argos platform is a semi-submersible floating production unit located approximately 10 km southwest of the existing Mad Dog platform.
Woodside CEO Meg O’Neill said production startup from Mad Dog Phase 2 demonstrates the ongoing value being delivered by Woodside’s merger with BHP’s petroleum business in 2022.
“Mad Dog is one of several low-cost producing assets for Woodside in the region with significant expansion potential and in close proximity to infrastructure and attractive markets.
“This makes the Gulf of Mexico a core component of Woodside’s global portfolio and a key part of our strategy to thrive through the energy transition,” she said.
Woodside holds a 23.9% non-operated participating interest in Mad Dog. The company’s production guidance for 2023 remains unchanged.