Deep-water oil and gas
Shell鈥檚 oil and gas production is increasingly from our innovative deep-water business, which produces higher-margin and lower-carbon barrels.
What is deep-water oil and gas?
Deep-water drilling involves extracting oil and natural gas from beneath the ocean floor at significant depths, typically greater than 200 metres (around 656 feet).
This process requires specialised equipment and techniques because of the challenging conditions found in deep-water environments.
Shell鈥檚 deep-water oil and gas business
Shell has a long history of using its knowledge, experience and proven deep-water technologies to unlock energy resources safely and efficiently.
The deep-water era for Shell began more than 40 years ago, when a team of engineers, scientists, and explorers reimagined the possibilities for offshore oil and gas production in the Gulf of America, formerly named Gulf of Mexico. In 1978, Shell鈥檚 Cognac platform marked a groundbreaking achievement as the first to produce oil in waters exceeding 1,000 feet in depth.
Since this pioneering feat, Shell has consistently reached remarkable technological milestones, excelling in the design, construction and operation of world-class oil and gas assets in varying water depths.
Shell's deep-water projects
Shell continues to invest in profitable and carbon-competitive oil and gas projects.
Gulf of America
In the Gulf of America, Shell is the largest operator and has one of the lowest greenhouse gas intensities in the world for producing oil, compared with other oil and gas producing members of the International Association of Oil & Gas Producers.
Shell鈥檚 operations here include the Perdido platform, one of the world鈥檚 deepest offshore drilling and production facilities. Perdido operates in water depths of up to 2,450 meters (8,000 feet), showcasing our expertise in ultra-deep-water exploration.
Whale, our latest oil and gas platform in the Gulf of America, represents Shell鈥檚 cost-efficient approach to deep-water development through replication and standardisation. It is a close replica of Vito, which started production in early 2023. Sparta, scheduled to start production in 2028, will follow a similar design.
Innovation in deep-water oil and gas
Shell is taking an innovative approach to deep-water development, using standardised, simplified designs that reduce costs and provide quicker returns. For example, sharing knowledge and resources between Vito and Whale has resulted in 50% faster hull engineering and 75% fewer re-work issues in manufacturing.
We employ state-of-the-art drilling techniques to reach deep-water reservoirs safely and efficiently. Our use of remotely operated vehicles (ROVs) and advanced subsea systems allows us to operate in challenging environments with precision and care.
At our Stones asset in the Gulf of America, we achieved the first-ever offshore cargo oil tank inspection using robotics in 2024. This greatly reduces safety exposure as well as cost.
Decarbonising our deep-water operations
Shell is proactively managing the greenhouse gas intensity of our deep-water operations through innovative project designs, efficient operations, and strategic handling of late-life assets.
Since 2016, we have achieved a 40% reduction in methane emissions in the Gulf of America. In 2023, emissions from Shell鈥檚 Gulf of America assets were 5% below our planned targets, with intensity levels 9% below expectations.
Additionally, we invest in research and development in Brazil, collaborating with more than 25 universities and research centres. A substantial portion of this investment is dedicated to reducing the greenhouse gas intensity of oil and gas exploration.
