Project Profile
Value: US$10 - US$14 billion
Location: Blocks 783 and 782, Green Canyon, Gulf of Mexico, Louisiana, US
Water Depth: 1,550 m
Reserves: 120,000 boepd and 140,000 boepd
Start-up Year: 2013
The Mad Dog Phase 2 project is the second stage of development of the Mad Dog offshore field operated by BP. The Mad Dog field was discovered in 1998 and started production in 2005. The Phase 2 has been planned as an extension to BP\'s biggest discovery in Gulf of Mexico.The entire Mad Dog area is estimated to hold four billion barrels of oil equivalent (bboe).
The Phase 2 development is planned for the southern portion of the Mad Dog field, which lies in the Green Canyon region of the Gulf of Mexico, roughly 200 miles (320km) south of New Orleans, Louisiana, US. It lies in approximately 5,100ft (1,550m) of water and found 85 metres of hydrocarbons in the objective Miocene sands as well as an oil column of more than 670 metres.
A revised plan for the field development was submitted to the US Bureau of Ocean Energy Management in August 2014 and the same was approved in March 2015. Production from the field is expected to commence in 2018.
The proposed development will comprise an integrated semi-submersible floating production platform that will be moored in 4,440ft of water. Design of the platform has been inspired from BP-operated Atlantis semi-submersible platform that is able to decrease the weight of the topsides to 25,000t. It will also integrate the topside infrastructure with the jacket structure. It will be located in block 780, west of the existing Mad Dog spar. Oil produced from the field will be transported to the Mardi Gras pipelines as per current agreements.
The development plan outlines the drilling of 29 wells, including 17 wet-tree producers and 12 wet-tree injectors from five drill centres located in blocks 825 and 870. Front-end engineering and design (FEED) work on the project started in 3Q 2014. A water-flood project based on BP\'s LoSal flooding technology has also been planned in order to enhance oil recovery from the field. It will handle 280,000b/d of low-salinity water flooding.
The new development has reduced the development cost to US$14bn with further reductions planned to bring down the cost to US$10bn.
Operators:
BP: Operator with 60.5% interest
BHP Billiton: 23.9% interest
Chevron: 15.6% interest
Contractors:
AMEC Paragon Inc.: PMC and FEED contract
FMC Technologies: Manufacture and supply subsea equipment (subsea trees, manifolds and jumpers).
KBR & GVA: Construct the production platform, also awarded a contract for pre-FEED, FEED and execution stage support.
Transocean: Drilling contractor
Samsung Heavy Industries : Contracted to build a semi-submersible production unit
Wood Group: The contract follows part of the recently signed global services agreement with BP, Wood Group’s Specialist Technical Solutions (STS) business was awarded a US$4.89 million contract for Subsea Engineering and Project Management Services to the Mad Dog 2 project. That work includes gas lift system interface design, geospatial information system support, subsea controls engineering and geotechnical engineering support. (March, 2017)
Subsea7: Engineering, procurement, construction and installation (EPCI) of the subsea umbilicals, risers and flowlines (SURF) and associated subsea architecture. The large contract for Subsea7 is estimated to be worth up to US$500 million. (March, 2017)
OneSubsea: Engineering, procurement and construction (EPC) contract to supply the subsea production system for the Mad Dog 2 development. The scope of this supplier-led solution includes subsea manifolds, trees, control system, single and multi-phase metres, water analysis sensors, intervention tooling and test equipment for producer and water injection wells associated with the project. (March, 2017)
Dresser-Rand: Hired to provide compressors for Mad Dog 2.
Subcontract
InterMoor: Mooring and tow services
Wood Group: A subcontract awarded by Samsung Heavy Industries to provide detailed engineering and procurement services for the topsides for BP’s Mad Dog Phase 2 floating production unit. The US$80 million contract follows the December 2016 completion of Interim Agreement Period (IAP) early work, which was valued at US$4.5 million. (March, 2017)