Chevron Corp. said Tuesday it struck oil at its Moccasin prospect in the deepwater Gulf of Mexico (GOM).

The Keathley Canyon Block 736 Well No. 1 encountered more than 380 feet of net pay in the Lower Tertiary Wilcox Sands, the oil major said. The well is about 16 miles off the Louisiana coast in 6,759 feet of water and was drilled to a depth of 31,545 feet.

Chevron is one of the largest leaseholders in the GOM and currently is developing the $7.5 billion Jack/St. Malo and the $4.1 billion Big Foot deepwater projects (see Daily GPI, Aug. 1).

“The Moccasin discovery underscores the importance of the deepwater Gulf of Mexico as a source of domestic energy for the United States and as a focus area for Chevron’s worldwide exploration portfolio,” said Vice Chairman George Kirkland, who is in charge of Chevron’s upstream business. “Moccasin is an important addition to our queue of high-quality opportunities around the globe.”

Chevron began drilling the Moccasin well in March 2010, but work was halted three months later when the deepwater drilling moratorium was imposed following the Macondo well blowout. Drilling resumed in March after the Bureau of Ocean Energy Management, Regulation and Enforcement approved Chevron’s revised drilling permit application (see Daily GPI, March 25).

Well results from the Moccasin well still are being evaluated, and additional work will be needed to determine the extent of the resource, said Chevron.

The company holds a 43.75% working interest in Moccasin and operated the discovery well. Other well owners are BP plc (43.75%) and Samson Offshore Co. (12.5%).

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