Talos Energy, based in Houston recently entered into a joint project with two other energy companies: Premire Oil based in London, England, and Sierra Gas and Oil based in Mexico. The three companies have started drilling offshore in Mexico on May 21. This latest venture is Mexico’s attempt to help stimulate their flagging state economy.
This is the first well not maintained by the state run “Petroleos Mexicanos” since 1938. Named “Zama-1“, the well, which is situated off the coast of Tabasco, is expected to hold between 100 to 500 million gallons of crude oil according to Premier Oil. The cost of drilling is expected to be around $16 million and take around 90 days to complete. The trio of businesses won this bid in 2015 when the government of Mexico first opened contract bidding. As the first non governmental well drilling in Mexico in almost eighty years, this a project is being closely watched by industry insiders and is a “high rate of geological success” according to reports.
Premier Oil holds a 25% share of this project, Sierra has a 40% share, and Talos, who is overseeing the drilling, holds a 35% share in the well project. Talos Energy was started by Tim Duncan and his partners after the successful sale of Phoenix Exploration, an energy company. With the sale of Phoenix Exploration Mr. Duncan and his partners had the capital of $600 million dollars for the startup of Talos Energy.
Mr. Duncan and his partners have had a good year with a successful drilling in Mexico. So much so that they are hoping to make another expansion of employees. In the past year the number of employees at Talos have went from 15 to 120. Mr. Duncan keeps an open door policy at Talos where all ideas are considered. Employees also hold a percentage of the stock in the company. A fact which has endeared the employees to Talos. To read more about this up and coming company, please click here.