The Lime Rock and Venice wells were safely brought online in late December 2023 and have achieved a combined initial gross production rate of more than 18,500 boe, averaging approximately 45% oil and 55% liquids. The combined ultimate recoverable gross resources of these two discoveries are estimated at approximately 20 to 30 Mboe. In addition to net production from Talos, the Company will collect volume-based production processing fees (“PHA fees”) from non-operated partners in both discoveries.
The Lime Rock prospect was acquired in Lease Sale 256 in November 2020 and is approximately seven miles from the Ram Powell facility. The Venice prospect was identified on the existing acreage of the Ram Powell unit, approximately three miles from the Ram Powell facility. Talos initially held a 100% working interest in both prospects prior to the successful closings to achieve its 60% working interest goal.
Talos President and CEO Timothy S. Duncan commented, “The safe start-up of Lime Rock and Venice in less than 12 months is an extraordinary accomplishment on the part of our operations team, which included new subsea facilities and facility upgrade works. This outlook illustrates our strategy of using purchased infrastructure and seismic imaging technology expertise to identify valuable new investment opportunities to increase reserves and production to meet growing energy demand.
“With these production additions, the Ram Powell plant is expected to achieve the highest combined sustainable production rate in approximately 15 years. Demonstrating our ability to successfully leverage existing infrastructure also provides a blueprint for future optimization, development and exploration opportunities around our existing and potential assets.