Last month, Shell Offshore Inc started production at the Appomattox floating production system — months ahead of
schedule.

Located in US deep water in the Gulf of Mexico, it has an expected production of 175,000 barrels of oil equivalent per day.

Andy Brown, upstream director at parent company Royal Dutch Shell, said: “That Appomattox was safely brought online ahead of schedule and far under budget is a testament to our on-going commitment to drive down costs through efficiency improvements; we have achieved cost reductions of more than 40% since taking the investment decision in 2015.

"The start of production at Appomattox is just the beginning of further maximising the flow of resources in the prolific Norphlet Formation surrounding Appomattox.”

Shell (www.shell.com) continues to be one of the largest leaseholders in the US deep water and remains one of the most prolific offshore producers of oil and natural gas in the Gulf of Mexico.

Appomattox is a joint venture between Shell (79%, operator) and CNOOC Petroleum Offshore USA Inc, a subsidiary of CNOOC Ltd (21%). The Appomattox floating production system is located about 80 miles south east of Louisiana in the Gulf of Mexico, in water some 7,400ft deep.