BP Invests in New $5 Billion U.S. Gulf Oil Project

Core Insights - BP has made a final investment decision on the Tiber-Guadalupe project, estimated at $5 billion, as part of its strategy to increase upstream production and achieve over 1 million barrels of oil equivalent per day in the U.S. by 2030 [1][5]. Project Overview - Tiber-Guadalupe will be BP's seventh operated oil and gas production hub in the Gulf of Mexico, featuring a floating production platform with a capacity of 80,000 barrels of crude oil per day, with production expected to commence in 2030 [2]. - The project is part of BP's plan to initiate 8-10 major projects globally between 2028 and 2030 [2]. Strategic Focus - The Tiber-Guadalupe project aligns with BP's revised strategy to focus on upstream oil and gas production, reducing investments in renewables [3]. - BP aims to launch 10 new major upstream projects by the end of 2027 and an additional 8-10 projects by the end of 2030, targeting a production increase to 2.3-2.5 million barrels of oil equivalent per day by 2030 [4]. Investment and Capacity Goals - Together with the Kaskida project, Tiber-Guadalupe is expected to enhance BP's production capacity to over 400,000 barrels of oil equivalent per day from the U.S. offshore region by 2030 [5]. - BP plans to invest approximately $10 billion in its Gulf of America Paleogene projects, including Tiber-Guadalupe and Kaskida [4]. Market Outlook - BP's senior vice president highlighted the importance of Tiber-Guadalupe and Kaskida in meeting global energy demands, which are projected to rise through 2030 [6]. - BP has revised its outlook on global oil demand, indicating it will continue to grow amid weaker-than-expected efficiency gains [6].