Japanese trading group Mitsui & Co., Ltd recently stated that it had reached a deal with Royal Dutch Shell to buy a 20 percent working interest in four blocks in the Gulf of Mexico owned by a Shell subsidiary. The blocks are located southeast of New Orleans, offshore Louisiana, and are estimated to have recoverable resources of more than 100 million barrels of oil equivalent.
According to the Japanese company, “production of crude oil and gas would utilize the existing near field infrastructure, presenting opportunities for early commercialization at reduced development costs.” Mitsui sees further exploration potential in the blocks, which may lead to a build-up of reserves. The Japanese trader aims to build a portfolio of high-quality, low-cost reserves and considers its upstream energy business a core business area.