Shell Starts Production at Silvertip Phase 3 in Gulf of America
October 28, 2026
Shell has started production at Phase 3 of its Silvertip project in the Gulf of America, bringing additional oil and gas volumes to its operated Perdido spar through two wells expected to deliver combined peak production of up to 6,000 barrels of oil equivalent per day (boe/d).
The wells are located in the Silvertip Frio reservoir, where Shell holds a 40% working interest and serves as operator, alongside Chevron with 60%.
The development involves two wells tied into existing subsea infrastructure, with estimated recoverable resources of 17 million boe, classified as 2P under the Society of Petroleum Engineers' Resource Classification System.
Both the estimated recoverable resources and peak production figures are on a 100% gross basis.
"By adding new production through existing Perdido infrastructure, we can safely deliver more value and optimize the life of a world-class asset," said Colette Hirstius, Shell's Executive Vice President for GoA and Shell USA President.
The Perdido spar is located in Alaminos Canyon, approximately 200 miles south of Galveston, Texas, in water depths of around 8,000 feet.
Shell operates the Perdido Regional Host with a 35% working interest, alongside Chevron U.S.A. with 37.5%, 3C Perdido Holdings with 26.5% and BP with 1%.
Shell is the largest producing leaseholder in the Gulf of America, where its oil production has among the lowest greenhouse gas intensities compared with other oil and gas producers that are members of IOGP, according to the company.
