KEY POINTS
- Shell and INEOS confirm a new oil discovery in the Norphlet play
- The find will be tied back to Shell’s Appomattox production hub
- Discovery adds to Shell’s expanding Gulf portfolio alongside Whale and Dover
Shell and INEOS have confirmed a new oil discovery in the deep waters of the United States Gulf, adding momentum to offshore exploration activity in one of the region’s most prolific geological zones.
INEOS said the Nashville exploration well confirmed the presence of high quality oil in the Norphlet formation after being drilled more than five miles below the seabed. The British energy group described the result as its first successful exploration well in the Gulf, calling it a milestone as it expands its offshore footprint.
Shell operates the well and the wider Appomattox production hub, holding a 79 percent stake. INEOS owns the remaining 21 percent. Technical studies are now underway to assess the size and commercial potential of the discovery, the companies said.
Discovery strengthens Appomattox hub strategy
The partners plan to develop the Nashville discovery as a tieback to the Appomattox platform, a strategy Shell has used repeatedly to bring new resources on stream faster and at lower cost.
INEOS chief executive David Bucknall said the result supports the company’s ambition to grow responsibly in the US Gulf, describing the basin as home to world class resources. He added that the discovery represents an important step in building a long term presence in the region.
Appomattox has become a central node in Shell’s Gulf operations. Earlier this year, Shell started production from Dover, a Norphlet discovery made in 2018. Dover is expected to produce up to 20,000 barrels of oil equivalent per day at peak and holds an estimated 44.5 million barrels of recoverable reserves. Shell owns Dover outright.
Another Appomattox tieback, Rydberg, came on stream in early 2024. Discovered in 2014, Rydberg has a capacity of about 16,000 barrels of oil equivalent per day and is located in the Mississippi Canyon, one of the most active offshore corridors in the Gulf.
Shell has also expanded its portfolio beyond Appomattox. In 2025, the company brought the Whale field into production, targeting output of up to 100,000 barrels of oil equivalent per day. Shell operates Whale with a 60 percent stake, while Chevron holds the remaining interest.
Whale sits in ultra deep water and contains an estimated 480 million barrels of recoverable resources, underlining the scale of remaining opportunities in the basin.
The Nashville discovery reinforces Shell’s strategy of leveraging existing infrastructure to unlock new resources, while giving INEOS a firm entry point into Gulf exploration. As operators continue to balance capital discipline with supply needs, deepwater tiebacks are expected to remain a key feature of offshore development in the coming years.
