The latest auction round for Gulf of Mexico leases has attracted more than $102million in bids – including a $30.5million bid for one block alone.
The US Department of the Interior had been looking for offers on 53 tracts across the western Gulf, covering more than 300,000 acres of the US outer continental shelf.
The sale, the third held under the US government’s new five-year exploration programme, attracted more 61 bids from 12 offshore companies.
It was one of the smallest sums netted by US authorities in a sale, but also represented a smaller acreage.
ConocoPhillips placed the highest single bid – offering $30,583,560 for block 475 on the ultra-deepwater Alaminos Canyon – and also submitted the highest total in bonus bids, lodging more than $50million for 29 possible tracts.
The company said it was ‘pleased’ with the sale outcome, which fitted its strategic plans for the region.
Shell spent $4.2million to secure Block 772 in the same canyon, as it looks to expand operations for the world’s deepest offshore platform, the Perdido.
“Shell bid on one block and was the apparent high bidder on Alaminos Canyon Block 772 with a bid of $4.2 million,” the company said in a statement.
“The acquisition of this strategic block marks an important step in Shell’s plans for future Perdido development.”
Earlier this year, the US Government landed almost $1.2billion in bids for tracts in a 39-million acre section of the central gulf, while last November a 20-million acre sale of sites in the western region picked up $134million in bids.
“This offshore oil and gas lease sale supports continued growth in safe and responsible domestic oil and gas production,” said Tommy Beaudreau, director of the government’s burial of ocean energy management.
“Over the past fourteen months, the offshore oil and gas industry has invested well over $3 billion in new federal leases in the Gulf of Mexico.”
Submitted bids will now be considered by BOEM officials to make sure offers represent fair market value and meet safety and environmental requirements.
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