29th Sep 2025 10:36
(Alliance News) - BP PLC on Monday said it has approved a new project in the Gulf of Mexico, which aims to produce 80,000 barrels of oil per day.
The London-based oil and gas company reported a positive final investment decision for the Tiber-Guadalupe project, of which it will be the sole owner and operator.
The company said an estimated USD5 billion investment in Tiber-Guadalupe is "fully accommodated within BP's disciplined financial framework."
The new project includes six Tiber field wells and a two-well tieback from the Guadalupe field, which are estimated to contain a combined 350 million barrels of oil equivalent in recoverable resources. Production is scheduled to begin in 2030.
"Additional wells could be drilled in future phases, subject to further evaluation," BP noted.
BP said this is one of eight to ten "major projects" expected to launch between 2028 and 2030. Tiber-Guadalupe will be its seventh production site in the Gulf of Mexico, and represents BP's second approval in two years for a production platform in the US offshore segment.
The other approval relates to its 100%-owned Kaskida project, which is also targeting 80,000 bopd and is expected to start up in 2029. The firm plans to invest a combined USD10 billion in what it calls the "Gulf of America Paleogene projects." Paleogene refers to an area southwest of New Orleans.
BP added that it will use "more than 85% of the design" from Kaskida to lower development costs at Tiber-Guadalupe, where costs are targeted to be USD3 per barrel lower.
"Along with its sister project Kaskida, Tiber-Guadalupe will play a critical role in BP's focus on delivering secure and reliable energy," said senior vice president Andy Krieger.
BP shares were down 0.7% at 442.30 pence on Monday morning in London.
By Holly Munks, Alliance News reporter
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