Zacks_Analysts' Blog : ATP Kicks Off Second Telemark Well - Analyst Blog

Energy explorer ATP Oil & Gas Corp. (ATPG) announced the start-up of its second well in the Telemark Hub, the company’s major deepwater Gulf of Mexico (“GoM”) development. First oil production from the Mississippi Canyon 941 #3 development was established at a better-than-expected rate of over 7,000 barrels of oil equivalent per day (MBOE/d).

ATP holds a 100% operated interest in the Telemark Hub, positioned in water depths of about 4000 feet. The Mississippi Canyon 941 #3 well, which will be renamed as MC 941 A-1, is located on the Mirage Field and uses ATP’s own floating drilling and production infrastructure, the ATP Titan. Earlier this year, ATP announced production from its Atwater Valley 63 #4 well, marking first oil at the billion dollar Telemark Hub deepwater project.

We believe the success of the Telemark Hub wells will significantly contribute to the company's mid-to-long term volume growth, apart from demonstrating ATP’s capabilities in initiating production from a major piece of deepwater infrastructure within a very short development period.

ATP Oil & Gas is engaged in the acquisition, development and production of natural gas and oil properties in the Gulf of Mexico and the North Sea. The company concentrates its efforts on natural gas and oil properties with proved undeveloped reserves that are economically attractive but are not strategic to larger or exploration-oriented independent oil and gas companies.