BP said on Tuesday it has given the go-ahead for the sixth operated hub, Kaskida, in the U.S. Gulf of Mexico, with oil production slated to start in 2029.
The new hub features a new floating production platform with the capacity to produce 80,000 barrels of crude oil per day from six wells in the first phase, BP said.
The London-listed company discovered the Kaskida field in 2006 and last year revived plans to develop it.
The company said it plans to leverage its existing platform and subsea equipment designs that can be replicated in future projects to drive cost efficiencies across Kaskida’s construction, commissioning and operations.
BP’s U.S. Gulf of Mexico output averaged 300,000 barrels of oil and gas per day (bpd) in 2023 and last year the company said it was targeting 400,000 bpd by 2030.
The British energy major is also considering a 2025 financial greenlight decision for its Tiber offshore oil project in the U.S. Gulf of Mexico.
Kaskida, Tiber, and nearby discoveries combined have an estimated 10 billion barrels of discovered resources in place.
Separately, BP on Tuesday reported a second-quarter profit of $2.76 billion, beating expectations, and increased its dividend.
(Reporting by Yadarisa Shabong and Arunima Kumar in Bengaluru; Editing by Eileen Soreng)