The Ticonderoga field in the deepwater Gulf of Mexico, jointly owned by Kerr-McGee Corp. and Noble Energy Inc., achieved first production last week, nearly two months ahead of schedule. Ticonderoga, operated by Kerr-McGee, holds an estimated 30-50 million boe and has reached peak production volumes of 20,000 bbl/d of oil and 15 MMcf/d of natural gas.

Ticonderoga was discovered in April 2004 in Green Canyon block 768 in 5,250 feet of water (see Daily GPI, April 20, 2004). It consists of two subsea wells tied back to Kerr-McGee’s 100%-owned Constitution spar located on Green Canyon block 680.

“This truly is a remarkable achievement by our employees and contractors whose execution of this project was second to none,” said Kerr-McGee COO Dave Hager. “This team not only expanded the capacity of the spar, but kept the project in line with budget and persevered through two massive hurricanes in the Gulf of Mexico to safely install the Constitution spar on schedule.”

The Constitution truss spar, a floating production facility, was originally modeled after Kerr-McGee’s Gunnison spar located on Garden Banks block 668. However, following the discovery of Ticonderoga in April 2004, Constitution’s capacity was expanded to accommodate the additional production. As a result, Constitution currently has the capacity to process 70,000 bbl/d and 200 MMcf/d — an increase in oil capacity of 75% from its initial design. The spar is located in nearly 5,000 feet of water 190 miles south of New Orleans.

“The Constitution facility is Kerr-McGee’s sixth operated hub in the deepwater Gulf of Mexico,” said Hager. “The value of each of these hubs continues to grow through the allocation of expenses and processing fees as additional satellite fields are developed. In addition to the significant value of the Ticonderoga field, we have added $50 million in value to our Constitution facility by expanding its capacity to process the Ticonderoga production.”

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