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This page last updated: July 28, 2005


Subsalt Exploration

The Gulf of Mexico subsalt play spans a vast area on the Texas-Louisiana Outer Continental Shelf and slope. This region is defined by the areal extent of tabular salt bodies. These tabular salt bodies are not continuous throughout the entire play outline.

Additional subsalt potential also exists beneath leaning or detached salt diapirs to the north, and beneath salt massifs to the south of the traditional subsalt play outline. Other hydrocarbon accumulations also exist above and between tabular salt bodies of the subsalt play.  A detailed discussion of subsalt exploration is provided in the MMS 2000 National Assessment (OCS Report 2001-087 CD release).  A summary of the National Assessment is available online.

A list of non-proprietary and publicly announced subsalt wells and a map outlining the areal extent of the subsalt play in the Gulf of Mexico are included in this publication.  Other non-proprietary well data and information can be downloaded from the MMS website.

What is the Subsalt Play?

The subsalt play is characterized by allochthonous (removed from its depositional location) tabular salt that commonly occurs in tongues, sheets, nappes, or canopies (Montgomery and Moore, 1997). These salt bodies were once part of a deeper Jurassic (approximately 170 million years before present) layer known as the Louann Salt (mother salt). Sedimentation on top of the mother salt layer caused deformation of the salt and its overlying sediments. Sometimes this deformation resulted in near-vertical "salt feeders" or "salt stocks" that flowed laterally into sheets as they approached equilibrium at or near the seafloor. The salt feeders are sometimes pinched off, resulting in isolated allochthonous salt sheets above the mother salt layer.

Thick sediment accumulations lie between the mother salt and the allochthonous salt sheet. Structural and stratigraphic traps of reservoir quality sediments are the target of subsalt hydrocarbon exploration. Allochthonous salt sheets mask the underlying (subsalt) structures and stratigraphy, but sophisticated computer processing of seismic data makes subsalt imaging possible.


Significant Subsalt Discoveries in the Gulf of Mexico

Until the mid 1980’s, it was a common paradigm that, once tabular salt was encountered, the potential for deeper hydrocarbon accumulations was nonexistent.  Several of the early subsalt wells were accidental subsalt penetrations. Operators were sometimes drilling to test anomalous seismic reflectors and found salt where they expected hydrocarbons.

The first subsalt well drilled in the Gulf of Mexico Outer Continental Shelf was Placid Oil Company's Ship Shoal 366 well (OCS-G-05588 #2) in 1983. This well drilled through two thin salt sheets before being plugged and abandoned in a third salt body. A total of only 295 feet of subsalt sediments was penetrated between three salt bodies.

Over the next several years, sporadic subsalt drilling continued. One of the highlights was Diamond Shamrock's 1986 well in South Marsh Island 200 (OCS-G-07719 #1), which penetrated a 990-foot thick salt sheet and encountered a massive 1,000-foot thick reservoir-quality sandstone below salt. The potential for world-class reservoir sands became apparent, but the absence of subsalt hydrocarbon accumulations still limited drilling activity.

In 1990, Exxon cleared the next hurdle when it discovered subsalt oil and gas in its Mississippi Canyon 211 (OCS-G-08803 #1) well. This prospect, nicknamed "Mica," encountered hydrocarbons below a 3,300-foot thick salt sheet in 4,000 feet of water and it took over a dozen years to bring the project to production.

Subsalt drilling continued at a slow but steady pace until the well publicized discovery of the "Mahogany" field in 1993, operated by Phillips Petroleum and located in Ship Shoal 349 (OCS-G-12008 #1) . This field, which began production in early 1997, was the first commercial subsalt oil development in the Gulf of Mexico.  Mahogany has produced over 24 million BOE from its wells as of June 2005.

Following the Mahogany discovery, subsalt leasing and drilling activity increased dramatically. In 1994, Shell Offshore, Pennzoil, and Amerada Hess announced a significant discovery in Garden Banks 128 (OCS-G- 11455 #1), nicknamed "Enchilada."   Enchilada has combined reserves estimated at 400 Bcf of gas and 25 million bbl of oil/condensate (DeLuca, 1999), and was brought on line in July of 1998. In 1995, Shell and partners announced another discovery at Garden Banks 127 (OCS-G- 11454 #1), the “Chimichanga” prospect. The well was a subsalt followup to the Enchilada discovery.  The Enchilada/Chimichanga was the second “commercial” subsalt discovery, which began producing in July of 1998.

Late in the year 1995, Texaco and Chevron announced a major discovery in Mississippi Canyon 292 (OCS-G-08806 #1), the "Gemini" prospect. Estimated recoverable reserves for the field are 250-300 Bcf of gas and 3-4 million bbl of condensate (DeLuca, 1999). Production through a subsea system commenced in June of 1999.

Anadarko and Phillips in 1996 announced the discovery of the "Agate" field in Ship Shoal 361 (OCS-G-14514 #1). Agate is now producing through a tie-back into the neighboring Mahogany platform.

Anadarko, along with partner BHP, also in 1996, announced a second subsalt discovery in Vermilion 375 (OCS-G-14427 #1), nicknamed "Monazite." The discovery well revealed multiple pay zones, but because of problems during testing, the hole was plugged and abandoned.

In 1997, Amerada Hess and Kerr-McGee made a discovery at Garden Banks 215 (OCS-G-09216 #4), the “Conger” prospect.  Later in the year (1997), the same partners made another major discovery in their "Penn State" prospect in Garden Banks 216 (OCS-G-14224 #3). These were the only successful new field wildcats reported during the year. The companies subsea completions tiebacked to their Baldpate development in Garden Banks 260.

In July of 1998, Anadarko announced a subsalt discovery at the "Tanzanite" prospect in Eugene Island 346 (OCS-G-14482 #1). Reserves for Tanzanite are estimated at 140 million BOE (Deluca, 1999). Tanzanite began producing in December of 2000.

Later in 1998, Anadarko also announced the discovery of their "Hickory" prospect in Grand Isle 116 (OCS-G-13944 # A-1). The discovery well, drilled to a total depth of 21,600 feet, penetrated approximately 8,000 feet of salt, one of the thickest sections of salt ever drilled in the Gulf of Mexico. Reserves are estimated at 40 million BOE (Deluca, 1999), and first production came on line in late 2000.

The subsalt discoveries at Green Canyon 562/563,  “K2/Timon Prospect” (OCS-G-11075 #1 and G-11076 #1), in 1999 in 4,144 ft of water by Conoco, and at “Champlain” prospect, Atwater Valley 63 (OCS-G-13198 #1) in 2000 in 4,385 ft of water by Texaco, have been reported by the industry as containing reserves totaling 280 MMBOE.

Today, subsalt leasing and drilling continue at a healthy pace. The tremendous excitement is generated by several major discoveries in the ultra-deep (greater than 5,000 ft) waters.

BP Exploration made significant discoveries in water depths greater than 6,000 ft  at Green Canyon 699, the “Atlantis” prospect (OCS-G-15604 #1), in 1998 in 6,133 ft of water, and at Green Canyon 826, the “Mad Dog” prospect” (OCS-G-09982 #1 OH & STK), in late 1999 in 6,560 of water.  Production from Mad Dog started in January 2005; BP estimated Atlantis reserves as 575 million BOE.

The largest of the subsalt discoveries was made by BP and ExxonMobil at Mississippi Canyon 778, the “Thunder Horse” prospect, (OCS-G-09868 #1) in 6,050 ft of water in 1999. Thunder Horse is one of the largest deepwater Gulf of Mexico discoveries to date, with estimated reserves of 1 billion BOE. A second discovery, “North Thunder Horse” at Mississippi Canyon 776 (OCS-G-09866 #1), was made in 2000 in 5,636 ft of water. Industry press releases report that the entire Thunder Horse and North Thunder Horse field complex may have reserves of 1.5 billion BOE.  Thunder Horse is scheduled to commence production in late 2005.

REFERENCES:

Deluca, Marshall; 1999; "Forty-six wells designated Subsalt in the Gulf of Mexico", in Offshore Magazine; January. 1999; pp. 50,52, 145.

Montgomery, Scott L. and D. Moore, 1997.  Subsalt Play, Gulf of Mexico: A Review:  Bulletin of the American Association of Petroleum Geologists, vol. 81, p 871-896.


Subsalt Imaging

Geophysicists image subsurface sediments by transmitting seismic (sound) waves through the earth and analyzing the energy that comes back to the surface. Until the early 1990's, detailed imaging beneath salt features was rare because seismic reflections are severely scattered and distorted by rugose salt surfaces and by anomalous acoustic properties of salt.

A sophisticated computer processing technique, called 3D depth migration (seismic section above), revolutionized subsalt hydrocarbon exploration. Although this technique has been around for decades, it was rarely used because it requires powerful computer and sophisticated software. Recent subsalt discoveries and technological advances, however, have made depth migration economically feasible.

In the eighties (1980's), nearly all seismic reflection data in the Gulf of Mexico were acquired as two-dimensional (2-D) data. This technique provides geoscientists with an image resembling a vertical slice through the earth. Since the early nineties, most seismic data are acquired as three-dimensional (3-D), providing an image resembling a cube cut from the earth. The 3-D cube provides a dense grid of data, and the data are more accurately positioned near salt bodies.

Conventional 3D time migration of seismic reflection data is a computer processing technique that is usually adequate for imaging geologic features in the Gulf of Mexico. The basic assumption of time migration is that the acoustic properties of the subsurface layers do not have abrupt lateral variations. This assumption breaks down near salt bodies because acoustic waves travel much faster through salt than through surrounding sediments. Because of these velocity variations, conventional time migration is very poor in correctly positioning, or even imaging, subsalt seismic events. Depth migration takes into account vertical and lateral velocity variations in the subsurface, creating more accurate and improved subsalt imaging.  Depth migration can be performed either before or after summing (stacking) the seismic offset traces.

In the recent years, companies have undertaken a major effort to enhance the seismic imaging of salt bodies. Extensive sets of speculative 3-D seismic data covering most of the Gulf of Mexico area with subsalt potential were acquired and processed in the 1990’s. Exploration companies could now cost-effectively buy and manipulate these 3-D data sets to improve their ability to define prospects below the salt bodies.


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