BP makes final investment decision on Kaskida production hub in Gulf of Mexico

BP has taken a final investment decision on the Kaskida project in the US Gulf of Mexico. Kaskida will be BP’s sixth hub in the Gulf of Mexico, featuring a new floating production platform.

The facility will have the capacity to produce 80,000 barrels of crude oil per day from six wells in the first phase. BP expects production to start in 2029.

Owned 100 per cent 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.

Located in the Keathley Canyon area about 250 miles (400 kilometres) 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 said Kaskida is in a prime location, with a stable fiscal regime and access to market. It will also be the company'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 the company expects to advance to a final investment decision next year.