Shell starts production at Vito in US Gulf of Mexico

HOUSTON,Feb. 16,2023 -- Shell Offshore Inc.,a subsidiary of Shell plc (Shell),announced that production has started at the Shell-operated Vito floating production facility in the US Gulf of Mexico (GoM). With an estimated peak production of 100,000 barrels of oil equivalent per day,Vito is the company's first deep-water platform in the GoM to employ a simplified,cost-efficient host design.

Vito,Shell's newest platform in the US Gulf of Mexico

"Vito is an excellent example of how we are approaching our projects to meet the energy demands of today and tomorrow,while remaining resilient as we work toward achieving net zero emissions by 2050," said Zoe Yujnovich,Shell's Upstream Director,adding,"Building on more than 40 years of deep-water expertise,projects like Vito enable us to generate greater value from the GoM,where our production has amongst the lowest greenhouse gas intensity in the world for producing oil."

The Vito development is owned by Shell Offshore Inc. (63.11% operator) and Equinor (36.89%). In 2015,the original host design was rescoped and simplified,resulting in a reduction of approximately 80% in CO2 emissions over the lifetime of the facility as well as a cost reduction of more than 70% from the original host concept.

Vito also serves as the design standard for our Whale project that will feature a 99% replication of the Vito hull and 80% of Vito's topsides.

Shell's Powering Progress strategy to thrive through the energy transition includes increasing investment in lower-carbon energy solutions,while continuing to pursue the most energy-efficient and highest-return Upstream investments.

Notes to editors

Originally discovered in 2009,the Vito field spans four Outer Continental Shelf (OCS) blocks in the Mississippi Canyon and is located at a depth of more than 4,000 feet (1,220 metres) of water. The host is located approximately 150 miles (241 kilometres) southeast of New Orleans and 10 miles (16 kilometres) south of the Shell-operated Mars TLP.

Shell announced a final investment decision (FID) on the Vito project in April 2018.

Vito is a four-column semi-submersible host facility with eight subsea wells (31,000 feet or 9,400 metres) with deep (18,000 feet or 5,500 metres) in-well,gas lift,and associated subsea flowlines and equipment.

Vito will produce into Shell Midstream's Mars Pipeline system.

The Vito field includes leases subject to the Gulf of Mexico Energy Security Act of 2006,which share lease revenues with Gulf producing states and the Land & Water Conservation Fund for coastal restoration projects.

Current estimated recoverable resource volume of the Vito development is 290 million boe. The estimate of resources volumes is currently classified as 2p and 2c under the Society of Petroleum Engineers' Resource Classification System.

The estimated peak production and current estimated recoverable resources presented above are 100% total gross figures.

Vito is Shell's 13th deep-water host in the Gulf of Mexico.

Shell reached an FID on Whale in 2021 and is currently scheduled to begin production in 2024.

The reference to our US Gulf of Mexico production being among the lowest GHG intensity in the world is a comparison among other IOGP oil-and gas-producing members.

Shell is the leading operator in the US Gulf of Mexico for oil and gas production.

In addition to operations in Brazil and the US Gulf of Mexico,Shell's deep-water portfolio includes our Argentina Shales organization and frontier exploration opportunities in Mexico,Suriname,Sao Tome & Principe,Argentina and Namibia.

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