Shell and INEOS Energy have agreed to jointly invest in new oil and gas exploration and development opportunities near the Appomattox platform in the Gulf of America.
INEOS will acquire a 21% working interest for an undisclosed amount, aligning with its existing stakes in Appomattox, Rydberg, the Nashville discovery and the Mattox pipeline.
The companies will initially focus on three opportunities - the Fort Sumter discovery, the drilling of the Sisco exploration well, and a further exploration well targeted by the end of 2030.
The agreement targets developments within tieback distance to the Appomattox platform, aiming to utilize existing infrastructure.
“Partnering with Shell on these opportunities is a natural step. We are focusing on areas close to existing infrastructure where we can move quickly, control costs and unlock new production. This is disciplined growth targeting exploration, shared risk, and returns. These opportunities strengthen our portfolio and support long-term energy security.
“Growth in an economy is highly correlated to competitive energy prices, and it’s a huge issue for national security. If you can’t get energy, then you can’t run your hospitals, run industry or heat your houses,” said David Bucknall, Chief Executive of INEOS Energy.
“Having now built a strong foundation across three strong locations (US onshore and offshore, Europe offshore), we’ll continue to look for bolt-ons. There will be opportunities for us in the Gulf of Mexico around the existing infrastructure we’ve got,” added Brian Gilvary, Chairman of INEOS Energy.
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