Enchilada Development Project

Shell Offshore Inc. (SOI) acquired GB Blocks 83, 84 and 127 in the August 1989 OCS Lease Sale 122. Pennzoil acquired GB Block 128 in the same lease sale and Amerada Hess acquired GB Block 172 in the September 1993 OCS Lease Sale 143.
 
SOI completed discovery wells in July of 1994 on Garden Banks 128, in June 1995 on Garden Banks 127, in April 1990 on Garden Banks 83 and in August 1991 on Garden Banks 84. Amerada Hess completed a discovery well on Garden Banks 172 during the first half of 1995.

Reservoir thickness ranges from 30 to 90 net feet of pay. The oil content varies by well, ranging from 28 to 49 degree API gravity with less than 1% sulfur.

Development and Production
The Enchilada/ Salsa Area was developed with two conventional fixed platforms. The first platform, Enchilada "A", containing the field processing facilities and 15 well slots (total 24 slots), was installed in January 1997 on Garden Banks Block 128 in 705 feet of water. Production began in the August of 1997.
 
The second platform, Salsa "B", is a 15 well slot (20 total slots) platform, which was installed in February 1998 in 693 feet of water. First production began in August 1998 on Garden Banks Block 172, with hydrocarbons routed to the Enchilada Platform for processing.
 
A subsalt well, Chimichanga, was drilled to a true vertical depth of 13,287 feet from the Enchilada "A" Platform through a 1,300 foot salt tablet, encountered at 9,269 feet.
 
In addition to processing its own hydrocarbons, the Enchilada "A" Platform was built to serve as a processing and transportation hub for production for projects in the Garden Banks and Green Canyon Areas.
 
Processing capacity at the Enchilada "A" Platform is 60,000 barrels of oil and condensate per day and 400 million cubic feet of gas per day.
 
Currently, oil and gas from Apache's Green Canyon 89 field, which Shell Offshore Inc. sold to Apache, is being processed and transported through the Enchilada "A" Platform. The A platform also provides gas to Apache for artificial gas lift.  Additionally Shell’s Auger field in Garden Banks 426 delivers oil and a portion of its gas to Enchildada "A" platform for export to shore.
 
Production from the Conger (Garden Banks 215) 3 well subsea development comes on board the Salsa "B" platform for testing and measurement and is sent to Enchilada "A" for processing and access to export pipelines. Conger is operated by Amerada Hess. Shell has a 37.5% interest.

Spinnaker’s Sangria (Green Canyon 177) 1-well subsea development comes on board the Salsa “B” platform for testing and measurement and is sent to Enchilada “A: platform for processing and access to export pipelines.

Pipelines

A 20-inch high sulfur oil pipeline, owned by Shell Pipeline, was made available for service in March 1997 to transport oil to SOI’s Eugene Island 331 "A" platform for delivery into the Bonito Pipeline, the Eugene Island Pipeline System or the continuation of the Auger 20-inch pipeline to Ship Shoal Block 28.
 
A 12-inch low sulfur oil pipeline, owned by Shell Pipeline, was available for service in April 1997 to transport oil to SOI’s Eugene Island 331 "A" Platform for delivery to the Central Gulf Gathering System.
 
A 30-inch gas pipeline, owned by Garden Banks Gas Pipeline, LLC (owned by Shell Gas Transmission 80% and Amerada Hess 20%) was made available for service in April 1997 to transport gas to SOI’s South March Island 76 "P" platform for delivery to the Transco Pipeline System, Bluewater Pipeline System and, beginning in late 1999 or early 2000, to the ANR Pipeline System. In addition, there is an interconnect to deliver gas to the Sea Robin Pipeline System at a Devon Energy-operated South Marsh Island 128 platform.