Petróleos Mexicanos (Pemex) on behalf of its partners has submitted the development plan for the Zama oil field to the Mexican National Commission of Hydrocarbons (CNH) for seeking formal approval from the regulator.

The company’s partners in the offshore field located in Block 7 in the Sureste Basin include Talos Energy, Wintershall Dea, and Harbour Energy.

Pemex is the operator of the offshore oil field which was discovered in 2017 and fully appraised in 2019.

As per the Zama unit development plan (UDP) submitted to CNH, the field is expected to have two offshore fixed platforms. It will see the drilling of 46 dry-tree wells apart from enabling oil and gas transportation to new facilities to be built in Terminal Maritima Dos Bocas in Tabasco.

The Zama oil field is targeted to have a production of up to 180,000 barrels of oil equivalent per day. This is equivalent to more than 10% of the present oil production of Mexico, said Talos Energy.

Production from the offshore Mexican field is anticipated to be made up of nearly 94% oil.

Pemex holds a stake of 50.4% in the offshore oil project. Talos Energy has a stake of 17.4%, while Wintershall Dea and Harbour Energy own stakes of 19.8% and 12.4%, respectively.

Talos Energy and Pemex will be co-leading the planning, drilling, construction, and completion of all the wells of the Zama oil field. Besides, the duo will jointly lead the planning, execution, and delivery of the project’s offshore infrastructure.

Based on globally recognised market indices, the Zama partners have also finalised agreements for the marketing of oil and gas and the usage of facilities.

Talos Energy said that front-end engineering and design (FEED) work is likely to go on while the UDP approval from CNH is awaited, which could come within the next six months. After the UDP approval and securing of all other regulatory approvals, a final investment decision (FID) will be taken on the Zama field development project.

The Zama partners have formed an integrated project team (IPT) for handling the project delivery and operations during the construction stage.

Talos Energy president and CEO Timothy Duncan said: “The UDP provides an efficient development plan that we expect to advance this discovery to first production. Separately, the IPT provides important roles for each of the Zama Unit Holders, a structure which we believe best leverages the talents of each organisation and optimises project governance.

“We understand the importance of this project to Mexico and look forward to continuing our collaboration as we look towards formal approval and to advance the project to FID.”