Shell said on Thursday that it had started early production at a deepwater subsea development in the U.S. Gulf of Mexico a year ahead of schedule and at a forward-looking, break-even price of less than $30 per barrel of oil. Shell began early production at the Kaikias development that has an estimated peak production of 40,000 barrels of oil equivalent per day (boe/d), adding more production in its key deepwater focus area, the Gulf of Mexico. Shell made the investment decision on the project early last year and has reduced costs at the development by some 30 percent since then, the supermajor said in a statement. “We believe Kaikias is the most competitive subsea development in the Gulf of Mexico and a prime example of the deep-water opportunities we’re able to advance with our technical expertise and capital discipline,” said Andy Brown, Upstream Director, Royal Dutch Shell. The Kaikias […]