Netherlands-based SBM Offshore signed a $400 million production handling agreement with Noble Energy to produce the Big Bend and Dantzler fields to the Thunder Hawk DeepDraft Semi platform in the Gulf of Mexico.
SBM said production fees from the deal are projected to generate $400 million in revenues over the 10-year primary contract period.
Thunder Hawk is located in 6,060 feet of water.
The Big Bend field is 18 miles from the Thunder Hawk platform in 7,200 feet of water in Mississippi Canyon Block 698. Houston-based Noble Energy operates a 54 percent working interest in Big Bend.
W&T Energy, a wholly owned subsidiary of Houston-based W&T Offshore, holds a 20 percent stake, Houston-based Red Willow Offshore holds a 15.4 percent stake, and Houston Energy Deepwater Ventures holds a 10.6 percent stake.
The Dantzler field is seven miles from the Thunder Hawk platform in 6,580 feet of water in Mississippi Canyon Block 782.
Noble Energy operates Dantzler with a 45 percent working interest. New Jersey-based Ridgewood Energy holds a 35 percent interest and W&T Energy VI holds a 20 percent interest.
Big Bend and Dantzler will be developed via a dual pipe-in-pipe loop system.
First oil from Big Bend is expected in late 2015 and in the first quarter of 2016 for Dantzler.
“This confirms the strategic value of the platform for deep-water Gulf of Mexico production, and we are excited to be offering valuable solutions in supporting the development of the Big Bend and Dantzler fields,” SBM CEO Bruno Chabas said.