Talos Energy submits unit development plan for Zama project in Mexico

Talos Energy and the other Zama Unit Holders Wintershall Dea, Harbour Energy and Pemex announced that on March 23, Pemex, as operator, submitted the Zama Unit Development Plan to Mexico’s National Commission of Hydrocarbons – CNH – for formal approval. An Integrated Project Team has been established to manage the development and operation of Zama going forward. The Zama UDP envisages two offshore fixed platforms, 46 dry-tree wells, and oil and gas transportation to new facilities in Terminal Maritima Dos Bocas. The Zama Unit Holders have also finalized agreements for oil and gas marketing and facilities. Front-End Engineering and Design work is expected to continue while awaiting UDP approval from CNH, expected within the next six months, allowing for a subsequent Final Investment Decision to be made after all regulatory approvals are obtained. Talos, together with Pemex, Wintershall Dea and Harbour, will co-lead different work groups within the IPT. Zama was discovered in 2017 and fully appraised in 2019 by the Block 7 consortium, which includes Talos, Wintershall Dea and Harbour. Zama is being developed to produce up to 180,000 BOE per day, over 10% of Mexico’s current oil production. Production is expected to be comprised of approximately 94% oil of excellent quality. Zama has been awarded "strategic project" status by Pemex and the Mexican Government. Initial participating interests are Pemex 50.4%, Talos 17.4%, Wintershall Dea 19.8% and Harbour 12.4%.