US independent LLOG Exploration Offshore has made an oil and gas condensate discovery with a well targeting its deepwater Taggart prospect in the US Gulf.

According to partner Stone Energy, drilling operations on the prospect in Mississippi Canyon Block 816 have been completed and the rig released. The well was logged, and pressure readings, cores and fluid samples taken in the Pliocene and Upper Miocene section sands. The data indicates a discovery with approximately 27 m (90 ft) of net oil and gas condensate pay in two sands.

The partners plan to further analyse the data and work on a development plan, expected to revolve around a likely subsea tie back to an existing facility. Partner Stone holds an approximate 23% working interest in the project, with LLOG the operator.

Stone added that a rig for the deepwater San Marcos prospect in MC 983 is now on location and has begun drilling. Stone holds a 25% working interest in the prospect, which is operated by Apache Deepwater LLC.

Stone’s Board of Directors has authorised an increase to the 2013 capital expenditure budget from US $650 million to $710 million. Most of the Capex budget increase is expected to be in the GoM deep water sector, it said.

Offshore