The global energy giant Royal Dutch Shell announced Monday that it has made a large oil discovery in the deepwater of the U.S.' Gulf of Mexico.
Located 60 miles offshore to the south of the U.S. state of Louisiana, the Kaikias prospect is approximately 1,400 meters below the water surface, while its recoverable potential is expected to exceed 100 million barrels of oil equivalent after development.
Kaikias, owned 100 percent by Shell, was discovered in August 2014, and appraisal drilling was completed in August 2015.
The energy firm said it completed the drilling and appraisal of Kaikias ahead of schedule and under budget, which "allowed the company to achieve more than 20 percent in cost savings."
Shell added that Kaikias builds upon the company's exploration and development position in the Mars-Ursa basin, which is known for its high quality oil reservoirs.
The Anglo-Dutch energy giant noted that it owns and operates three infrastructures in the Mars-Ursa basin, making the basin "a key strategic hub."
The basin is expected to deliver around one billion barrels of oil equivalent, according to Shell.
By Ovunc Kutlu
Anadolu Agency
ovunc.kutlu@aa.com.tr