September 12, 2017

LLOG Exploration Company and all of its working interest partners have taken several key steps to begin execution of the previously-approved Buckskin Project. This large-scale deepwater development project has been delineated by multiple prior wells and will be a six-mile subsea tieback to the Anadarko-operated Lucius Spar and is located on Keathley Canyon blocks 785, 828, 829, 830, 871 and 872 in the Gulf of Mexico in approximately 6,800 feet of water.
Affiliates of LLOG Exploration Company own a 31.3% working interest in the project and LLOG Exploration Offshore, L.L.C. has been named as operator. Repsol and Samson Offshore BSM, LLC each own a 22.5% working interest, Beacon Offshore Energy Buckskin LLC (an affiliate of Beacon Offshore Energy LLC) owns an 18.7% working interest, and Navitas Buckskin US, LLC owns a 5% working interest.
The Keathley Canyon 872 #1 discovery well at Buckskin was drilled by Repsol in 2009 to a depth of 29,404 feet and encountered approximately 400 feet of net pay in the Upper and Lower Wilcox formations. Three subsequent appraisal wells drilled in Keathley Canyon 785 and 829 encountered an average of 375 feet of high quality oil pay in the Upper Wilcox. The Buckskin project will use equipment rated to 15,000 PSI and will utilize dual eight-inch flowlines with riser base gas lift.
Scott Gutterman, LLOG’s President and Chief Executive Officer commented, “Buckskin is a unique opportunity for LLOG, and we are excited to partner with Repsol, Samson, Beacon, and Navitas in the development of this very significant project. The field extends onto six lease blocks and we estimate that it contains nearly five billion barrels of oil in place. Since our inception in 1977, LLOG has successfully drilled 78 wells and managed 21 development projects in the deepwater Gulf of Mexico. We believe our commitment to safety and efficient operations, together with our deepwater Gulf of Mexico experience and strong track record of success will allow us to efficiently develop the Buckskin project and add significant value to all partners.”
LLOG recently executed a new contract with the Seadrill West Neptune drilling rig to perform the initial Buckskin work which will include drilling and completing two wells. The West Neptune will move on the Buckskin location in the fourth quarter of 2017. LLOG has also ordered several long-lead items for the topsides and is well positioned to achieve first production at Buckskin in the second half of 2019. (Source: LLOG)