The Shenandoah FPS Arrives in the Gulf of America for Installation

The Shenandoah floating production system (FPS) has reached the Gulf of America in preparation for its installation at the Shenandoah deepwater field at Walker Ridge. Developed by Beacon Offshore Energy, the FPS was transported from South Korea to Texas before making its way to the Gulf onboard the Xin Yao Hua.

Key Milestones

The Shenandoah FPS departed from Hyundai Heavy Industries’ shipyard in Ulsan on December 13, 2024. It was then delivered to Ingleside, Texas, by COSCO Shipping and Guangzhou Salvage Heavy Transport on February 10, 2025. The 26,050 metric ton FPS is now undergoing final preparations at Kiewit Offshore Services’ fabrication yard before its offshore installation at the Walker Ridge project site.

The FPS boasts a nameplate capacity of 120,000 bopd and is set to commence operations in the second quarter of 2025. Mooring pile installation and infield pipelay activities have already been completed, with rig operations underway for the remaining Phase 1 producing wells.

Shenandoah Phase 2 Development

Beacon Offshore Energy and its partners have sanctioned Shenandoah Phase 2, which includes the drilling of two additional producing wells and debottlenecking activities to increase throughput capacity to 140,000 bopd by early 2026. The project is expected to add approximately 110 MMBOE of P50 resources between 2025 and 2028.

As part of the expansion, the Shenandoah working interest partners have secured an additional $150 million in debt commitments, bringing the total debt commitments for the project to over $1.2 billion. Shenandoah Phase 2 will also see the installation of a subsea booster pump to enhance hydraulic support for the wells.

Future Plans for Shenandoah

In addition to Shenandoah Phase 2, Beacon Offshore Energy is advancing plans for the development of the Shenandoah South discovery located in Walker Ridge 95. The proximity of Shenandoah South to the FPS will allow for a cost-efficient subsea tieback development, with initial production expected in the second quarter of 2028.

Shenandoah South is estimated to hold 74 MMBOE of P50 resources, with final investment decision planned for the second quarter of 2025. Beacon Offshore Energy is collaborating with Houston Energy, HEQ Deepwater, and Navitas Petroleum on the Shenandoah South development.