Hess and Chevron gave the green light Wednesday to start development of the Hess-operated Stampede project in the U.S. Gulf of Mexico.
Stampede, a deepwater subsea development, will have a capacity of 80,000 barrels of crude oil per day.
Drilling is projected to start in the fourth quarter 2015 with first production expected in 2018.
Six production wells and four water injections wells are currently being planned.
The facility will be tied-back to a newly constructed Tension Leg Platform.
The Stampede field has total estimated recoverable resources in excess of 300 million barrels of oil equivalent.
Union Oil Company of California, a Chevron subsidiary, has a 25 percent working interest in the development.
New York-based Hess Corporation a 25 percent operating interest. Norway’s Statoil and Japan’s Nexen each hold 25 percent interests.
The Stampede project includes the joint development of the Knotty Head and the Pony discoveries, in Green Canyon blocks 511, 512 and 468.
The blocks are located 220 miles southeast of New Orleans in 3,500 feet of water and will target lower Miocene reservoirs at a water depth of 30,000 feet.
The project is expected to cost $6 billion.