Shell Makes Final Investment Decision on Oil, Gas Project in Gulf of Mexico

MOSCOW, December 20 (Sputnik) - UK-Dutch energy giant Shell has made a final investment decision on the development of the Sparta oil and gas project in the Gulf of Mexico, with production expected to begin in 2028, the company announced on Wednesday.

"Shell Offshore Inc., a subsidiary of Shell plc, today announced the Final Investment Decision (FID) for Sparta, a deep-water development in the U.S. Gulf of Mexico that represents our competitive approach to simplifying and replicating projects," the company said in a statement.

The Sparta project is owned by Shell Offshore Inc and Equinor Gulf of Mexico LLC, which hold 51% and 49% interest, respectively.

"Sparta is expected to reach a peak production of approximately 90,000 barrels of oil equivalent per day (boe/d) and currently has an estimated, discovered recoverable resource volume of 244 million boe," the statement added.

Sparta will be Shell's "15th deep-water host in the Gulf of Mexico," the company said, adding that production is expected to begin in 2028.

Shell is British-Dutch oil and gas company engaged in the production, processing and marketing of hydrocarbons in over 70 countries. Its headquarters are in The Hague.