Renta 4 | According to the company itself, the consortium of Repsol, LLOG Exploration Offshore, and O.G. Oil & Gas has achieved its first oil production in the Leon-Castile deepwater fields off the coast of Louisiana in the United States.
Specifically, production has begun at a well in the Leon field, and two other wells are expected to come on stream this year in Leon and the adjacent Castile field, with two more scheduled to begin operations in 2026. The Leon-Castile project is being carried out using the floating platform known as “Salamanca”, the first facility of its kind to be refurbished in the Gulf of Mexico, achieving an estimated 87% reduction in emissions compared to building a new one, as well as significantly reducing the time needed to bring these fields into operation.
Leon-Castile is a strategic project that adds significant long-term energy production in the United States and reflects Repsol’s commitment to a key region for investment in the Exploration and Production business.
Repsol has a 50% stake in Leon and 35.62% in Castile, as well as 2.5% in the Salamanca floating production unit, which has an initial operating capacity of 60,000 barrels of oil per day and 40 million cubic feet of gas per day.
Assessment: Positive news, although expected, so we do not anticipate any impact on the share price.
The development of Leon-Castile reflects Repsol’s strategy of producing higher quality barrels safely and efficiently in established basins such as the Gulf, where it has technical expertise and experienced partners.
