Chevron Announces Discovery In The Deepest Well Drilled In U.S. Gulf Of Mexico

San Ramon, CA - Chevron Corporation announced a significant new deepwater oil discovery, and the deepest well ever drilled in the U.S. Gulf of Mexico, at the Knotty Head Prospect located in Green Canyon block 512. The block is approximately 170 miles southeast of New Orleans.

The Knotty Head No. 1 discovery well is in approximately 3,500 feet of water and was drilled to a total depth of 34,189 feet (measured depth). The well encountered approximately 600 feet of net pay oil sand. Further drilling is planned to determine the extent of the discovery.

"This is another great addition to Chevron's deepwater discoveries in the Gulf of Mexico," said Ray Wilcox, Chevron's North America Exploration and Production Company president. "Chevron's deepwater technology is allowing us to continue to strengthen our presence in this key producing area."

Paul Siegele, vice president of Chevron's Gulf of Mexico Deepwater business unit said, "We are very pleased with the results of this well. It is the deepest well announced to date in the Gulf of Mexico."

Earlier this year it was announced that the well had encountered more than 300 feet of apparent hydrocarbon pay based on measured-while-drilling logs. At that time, the well was at a depth of 29,670 feet.

Chevron owns a 25 percent interest in Green Canyon block 512. Other owners include Nexen Petroleum Offshore U.S.A. Inc., a wholly owned subsidiary of Nexen Inc., (25 percent), Anadarko Petroleum Corporation (25 percent), and BHP Billiton (25 percent). Nexen Petroleum Offshore U.S.A. Inc. is the operator.

Chevron is the largest overall leaseholder in the U.S. Gulf of Mexico and one of the world's leading energy companies. With more than 53,000 employees, Chevron subsidiaries conduct business in approximately 180 countries around the world, producing and transporting crude oil and natural gas, and refining, marketing, and distributing fuels and other energy products. Chevron is based in San Ramon, Calif.

SOURCE: Chevron Corporation