Shell Offshore Inc. and Shell Pipeline Company (SPLC), subsidiaries of Shell plc, have entered into an agreement to increase their stake in the Ursa platform, located in the Gulf of America. The deal will see Shell’s working interest (WI) in the platform, its pipeline, and associated fields rise from 45.39% to 61.35%. This increase follows the agreement to acquire a 15.96% working interest from ConocoPhillips.
Zoë Yujnovich, Shell’s Integrated Gas & Upstream Director, emphasised the strategic value of the acquisition, saying, “This targeted investment is the latest example of how we are unlocking more value from our existing advantaged Upstream assets and infrastructure.” She added that the acquisition will expand Shell’s ownership in an asset that has long been a strong producer of free cash flow, presenting further opportunities for growth in the future.
The Ursa platform, which has been in operation since 1999, is situated approximately 130 miles southeast of New Orleans in the Mars Basin, one of the world’s most productive hydrocarbon regions. The platform, along with its associated Ursa/Princess field, has produced over 800 million barrels of oil equivalent, solidifying Shell’s position as a leading player in the Gulf of America.
Shell’s increased working interest in Ursa is part of the company’s broader strategy to focus on energy-efficient, high-margin Upstream investments. The Gulf of America is recognised for having some of the lowest greenhouse gas emissions per unit of energy produced, underscoring Shell’s commitment to delivering secure, low-carbon domestic energy supplies.
The agreement also includes the acquisition of ConocoPhillips’ 15.96% interest in the Shell-operated Ursa Oil Pipeline Company LLC, which will now be held by Shell Pipeline Company. Additionally, Shell will gain ConocoPhillips’ 1% working interest in the Europa prospect, also operated by Shell, and a 3.5% overriding royalty interest (ORRI) in Ursa, which ConocoPhillips acquired through the merger with Marathon Oil Corporation in late 2024.
While the deal is expected to close by the end of Q2 2025, it is still subject to regulatory approval, preferential rights elections, and other closing conditions. The increased stake will further enhance Shell’s role in the region, where it is already a leading operator and one of the largest leaseholders in the Gulf of America.
Shell’s continued expansion in the Gulf of America aligns with its strategy of pursuing assets with strong growth potential while maintaining a focus on sustainability. With this deal, Shell is positioning itself to maximise value from the Ursa platform and strengthen its energy portfolio.
