Marathon Oil Ends Its Offshore Gulf Of Mexico Business

Published at 08:57AM - 10/11/15

Huston based oil and gas producer, Marathon Oil, has announced that it has sold its offshore Gulf of Mexico assets, signalling the end or its US offshore operations.

The company made the announcement Monday (9th Nov), but has made no indication as to the buyer. The firm did say that the deal is worth US$205 million.

The sale includes Marathon Oil’s operated assets, located in the Ewing Block, around 64 miles (103km) offshore Louisiana, that currently produce a steady 17,000 barrels of oil per day. The deal will also see Marathon offloading stakes in its non operated assets, the Neptune and Petronius fields.

Troubled Times

The move is part of Marathon Oil’s efforts to rebalance its books, after it made a loss of US$749 million in the 3rd quarter of 2015.

The firm is now likely to focus its efforts on its US onshore fracking business as well as some operations it currently has outside of the US, mainly its successful LPG plant in Equatorial Guinea.

Also Monday (9th Nov), it was reported that the UK HSE had hit Marathon Oil with an improvement notice, after a gas leak on its Offshore oil and gas Brae Alpha platform in the UK North Sea.