Gulf of Mexico lease sale garners more than $191 million in high bids

Offshore staff

NEW ORLEANS – Lease Sale 257 generated $191,688,984 in high bids for 308 blocks in federal waters of the Gulf of Mexico, according to the Bureau of Ocean Energy Management (BOEM).

Thirty-three companies submitted 317 bids totaling $198,511,834.

Exxon Mobil Corp. submitted 94 high bids totaling $14,889,600.

bp Exploration & Production Inc. submitted 46 high bids totaling $28,967,128.

Chevron U.S.A. Inc. submitted 34 high bids totaling $47,128,011. The company’s highest bid, $4,409,99, was for the deepwater Mississippi Canyon block 40.

Anadarko US Offshore LLC submitted 30 high bids totaling $38,997,560. The company’s and the sale’s highest bid, $10,001,252, was for the deepwater Alaminos Canyon block 259.

Shell Offshore Inc. submitted 20 high bids totaling $17,888,240. The company’s highest bid, $4,052,612, was for the deepwater Atwater Valley block 54.

DG Exploration Inc. submitted 14 high bids totaling $1,755,100.

Arena Energy LLC submitted 11 high bids totaling $3,793,353.

Talos Energy Offshore LLC submitted 10 high bids totaling $4,794,170.

BHP Billiton Petroleum (Deepwater Inc.) submitted eight high bids totaling $8,194,896. The company’s highest bid, $3,570,612, was for Green Canyon block 79.

Focus Exploration LLC submitted seven high bids totaling $1,363,292.

LLOG Exploration Offshore L.L.C. submitted six high bids totaling $4,773,817. The company’s highest bid, $3,099,985, was for the deepwater Sigsbee Escarpment block 39.

Repsol E&P USA Inc. submitted five high bids totaling $4,200,713.

Houston Energy LP submitted five high bids totaling $1,020,658.39.

Red Willow Offshore LLC submitted five high bids totaling $1,939,364.86.

Juneau Oil & Gas LLC submitted five high bids totaling $675,885.

Murphy Exploration & Production Co. submitted three high bids totaling $1,954,442.

Cantium LLC submitted three high bids totaling $193,450.

Beacon Offshore Energy Exploration LLC submitted three high bids totaling $1,795,331.

Hess Corp. submitted two high bids totaling $1,523,856.

Walter Oil & Gas Corp. submitted two high bids totaling $709,266.

W & T Offshore Inc. submitted two high bids $295,000.

Equinor Gulf of Mexico LLC submitted one high bid totaling $1,641,583.20.

Byron Energy Inc. submitted one high bid totaling $130,260.

EnVen Energy Ventures LLC submitted one high bid totaling $594,683.

CSL Exploration, LP submitted one high bid totaling $97,564.95.

Kosmos Energy submitted one high bid totaling $997,119.

Beacon Offshore Energy Operating LLC submitted one high bid $552,868.05.

Otto Energy (Gulf Two) LLC submitted one high bid totaling $125,000.

F. F. Foster & Associates Inc. submitted one high bid totaling $108,880.

QuarterNorth Energy LLC submitted one high bid totaling $437,892.38.

Blackcomb Energy LLC submitted one high bid totaling $150,000.

GOM Shelf LLC and Cox Oil Offshore, L.L.C. both submitted one bid.

Lease Sale 257 offered about 15,148 unleased blocks located from 3 to 231 mi (5 to 372 km) offshore, in the Gulf’s Western, Central and Eastern Planning Areas in water depths ranging from 9 to more than 11,115 ft (3 to 3,400 m).

This was the eighth offshore sale held under the 2017-2022 National OCS Oil and Gas Leasing Program.

National Ocean Industries Association President Erik Milito said: “Lease Sale 257 reflects the US Gulf of Mexico’s record as a low carbon energy basin. Energy companies are increasingly making decisions that incorporate climate and ESG factors and want to produce oil from regions with a low carbon intensity. With its world class infrastructure and prospective resources, the Gulf of Mexico provides an incredible value proposition in society’s efforts to tackle climate change while preserving jobs and economic growth and mitigating against inflationary energy prices.

“While providing a lower carbon energy alternative to oil produced by foreign, higher emitting producers, like Russia and China, the Gulf of Mexico supply chain is also contributing to the build-out of the American offshore wind sector and is investing in emissions mitigation solutions such as carbon capture and storage.”

He added: “Regardless of party, policymakers should embrace the Gulf of Mexico and recognize it as a national strategic energy asset.”

Milito also called on the Interior Department to complete the new five-year leasing program.

“Continued leasing is critical to our energy future; good decisions today will benefit America tomorrow. With the current leasing program expiring this coming summer, the Biden administration must expeditiously finalize the next five-year program for OCS oil and gas leasing,” he said. “Not only is the development of a new leasing program required by law, but continued lease sales will advance climate progress, stimulate continued economic growth, support high-paying jobs throughout the country, and strengthen our long-term national security.”

11/17/2021