BP reports the drilling of a successful appraisal well in a previously untested southern segment of the Mad Dog field.

The 826-5 well is located on Gulf of Mexico Green Canyon block 826 approximately 100 miles (160 kilometers) south of Grand Isle, LA., in about 5,100 feet (1,554 meters) of water. The well encountered about 280 net feet (85 meters) of hydrocarbons in the objective Miocene hydrocarbon-bearing sands and discovered an oil column of more than 2,200 feet (670 meters).

The results from this well continue the successful phased development of the Mad Dog field and build upon the success from 2008 where the A-7 well in the western part of the field encountered a hydrocarbon column of more than 2,500-feet (762 meters), and 275 feet of net pay (84 meters).

"With these additional hydrocarbon resources in the west and south of the field, Mad Dog has been firmly established as the third giant field in BP's Gulf of Mexico portfolio, joining Thunder Horse and Atlantis," said Andy Inglis, BP's chief executive officer for exploration and production. "Due to the materiality of these recent finds, we are reviewing development options to increase production from Mad Dog either through debottlenecking the existing facility or by adding another production facility".

BP maintains a 60.5 percent working interest in Mad Dog. BHP Billiton has a 23.9 percent interest, Chevron has a 15.6 percent interest.

Tags: BP PLC