LLOG Exploration Offshore has been named operator of the Shenandoah discovery in the Gulf of Mexico (GoM), envisioning a new floating production system for the field, the company said in a news release April 26.

Affiliates of LLOG, Navitas Petroleum US and Beacon Offshore Energy have agreed to acquire a 70% working interest in the Shenandoah Unit covering Walker Ridge blocks 51, 52 and the north half of 53 in the deepwater GOM. Venari Resources LLC will increase its working interest from 17% to 30%, the release said.

LLOG has submitted a request for Suspension of Production (SOP) with the U.S. Bureau of Safety and Environmental Enforcement. The transaction is contingent upon government approval of the assignments of interests and the SOP.

“We envision a multi-well, multistage development, including a new floating production system,” LLOG CEO Scott Gutterman said in the release. “We believe our commitment to safety, proven history of efficient operations, and nearly 20 years of deepwater GoM experience will allow us to safely and effectively operate the Shenandoah Unit. Our strong track record of success should allow us to efficiently develop this 100 to 400 million barrels of oil equivalent discovery and add significant value to all of our partners.”

Shenandoah was discovered in 2011 with Anadarko Petroleum Corp. as the operator. Since its discovery six wells with multiple sidetracks have been drilled.

Offshore