ConocoPhillips Announces Fourth Oil Discovery in Deepwater Gulf of Mexico

Wed Dec 18, 2013 8:00am EST

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ConocoPhillips Announces Fourth Oil Discovery in Deepwater Gulf of Mexico

ConocoPhillips (NYSE:COP) today announced a significant oil discovery at its Gila prospect in the deepwater U.S. Gulf of Mexico. The company holds a 20 percent working interest in the Gila well, operated by BP (NYSE: BP).

“Gila is the company’s fourth deepwater Gulf of Mexico Paleogene discovery and demonstrates the potential of our growing conventional exploration program,” said Larry Archibald, senior vice president, Exploration. “We have built a significant Gulf of Mexico deepwater acreage position and achieved success with discoveries at Tiber, Shenandoah, Coronado and Gila, validating our exploration strategy in the prolific Lower Tertiary trend.”

The Gila discovery was made by an exploration well on Keathley Canyon Block 93, about 300 miles southwest of New Orleans, in approximately 4,900 feet of water. The well was drilled to a depth of 29,221 feet penetrating multiple Paleogene-aged reservoir sands. Further drilling will be required to determine the ultimate size of the discovery and to test the potential for material additional pay in deeper zones not penetrated in the discovery well.

ConocoPhillips previously announced three discoveries in the Gulf of Mexico:

  • Tiber (Keathley Canyon Block 102, 18 percent working interest).
  • Coronado (Walker Ridge Block 98, 35 percent working interest).
  • Shenandoah (Walker Ridge Block 51, 30 percent working interest).

Appraisal wells are currently being drilled on Tiber and Coronado. Shenandoah will be further appraised in 2014.

The company currently holds an interest in 454 Gulf of Mexico deepwater blocks covering approximately 2.2 million net acres, primarily focused on the Lower Tertiary trend in the Central and Western Gulf. Currently, exploration drilling is underway at the Deep Nansen prospect (East Breaks Block 602, 12.5 percent working interest). In 2014, the company expects to initiate a multi-well operated drilling program.

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About ConocoPhillips

ConocoPhillips is the world’s largest independent E&P company based on production and proved reserves. Headquartered in Houston, Texas, ConocoPhillips had operations and activities in 29 countries, $55 billion in annualized revenue, $120 billion of total assets, and approximately 18,000 employees as of Sept. 30, 2013. Production from continuing operations averaged 1,511 MBOED for the nine months ended Sept. 30, 2013, and proved reserves were 8.6 billion BOE as of Dec. 31, 2012. For more information, go to www.conocophillips.com.

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OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

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ConocoPhillips
Davy Kong (media), 281-293-2701
davy.kong@conocophillips.com
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Sidney J. Bassett (investors), 212-207-1996
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