Shell Offshore Inc. has taken a final investment decision (FID) on a waterflood project at its Kaikias field in the US Gulf of America. Water will be injected to displace additional oil in the reservoir formation which supplies production to Shell’s Ursa platform in the Mars Corridor.

Waterflood is a method of secondary recovery where the injected water physically sweeps the displaced oil to adjacent production wells, while re-pressurizing the reservoir. First injection is expected in 2028 and is anticipated to extend the production lifecycle of Ursa by several years.

“Following our decision to increase our stake in Ursa earlier this year, this additional investment continues to maximize the value of the asset,” said Peter Costello, Shell’s Upstream President. “It also contributes to our aim of maximizing high-margin production and longevity in a core basin to maintain liquids production.”

Shell is the leading deep-water operator in the US Gulf of America, where our production has among the lowest greenhouse gas intensity in the world.