Beacon Offshore Energy, a Texas-based exploration and production company, is preparing to begin drilling the second development well at a field in the Gulf of America (U.S. Gulf of Mexico), with first oil targeted for year-end 2026.
The drilling is set to start on the second Monument development well, after the first development well, which was drilled to its total measured depth of 32,250 feet and encountered approximately 250 feet of net pay, confirmed pre-drill expectations.
This will be followed by completion operations on both wells, with first production expected to be between 20–30 million barrels of oil equivalent per day (boe/d) gross by year-end 2026.
Monument, a large Wilcox oil discovery in Walker Ridge blocks 271, 272, 315, and 316, is being developed as a subsea tie-back to the Shenandoah production facility in Walker Ridge with committed firm capacity of 20 million barrels of oil per day.
Beacon Offshore Energy, as the operator, has a 41.7% interest in the field, while its partners, Talos Energy and Navitas Petroleum , hold the remaining 29.7% and 28.6%, respectively.
Meanwhile, Talos spudded the Daenerys appraisal well on July 1, 2026, with operations progressing according to plan and results expected by year-end. The initial discovery well was drilled to a total vertical depth of 33,228 feet utilizing the West Vela drillship.
Talos is the operator (27%) of the project, with Shell Offshore (22.5%), Red Willow (22.5%), Houston Energy (10%), HEQ II Daenerys (9%), and Cathexis (9%) as partners.
The company also executed definitive agreements to acquire an 80% operated working interest in a block, spanning more than 4 million gross acres offshore Honduras, with CaribX retaining the remaining 20% working interest.
Talos has closed on a 45% working interest and assumed operatorship, while the acquisition of the remaining 35% working interest is subject to approval by Honduras’ Secretaría de Energía (SEN), which is expected within approximately 90 days.
The firm has the option to participate in an exploration well, subject to the results of the seismic program, with an initial 3D seismic campaign planned for the second half of 2026.
Talos elaborated: “The acreage provides exposure to both shallow and deepwater exploration opportunities, including untested deepwater Miocene prospects within a working petroleum system.
“The transaction is structured as a seismic carry and minimal sunk-cost reimbursement, providing access to large-scale exploration potential at a low entry cost.”