New 2026 projects boost Gulf oil and gas production

Oil and gas production in the Federal Offshore Gulf of America (GOA) is projected to remain steady over the next two years. 

According to EIA recent forecasts, daily production will slightly increase from 1.77 million barrels in 2024 to 1.80 million in 2025 and 1.81 million in 2026. 

This means the Gulf will continue contributing around 13% of the total U.S. oil output.

Natural gas production, however, will dip slightly. While 2024 is expected to close at 1.79 billion cubic feet per day (Bcf/d), the figure will ease to 1.72 Bcf/d in 2025 and 1.64 Bcf/d by 2026. 

Still, the GOA will maintain its role in the country’s energy balance, especially in oil supply.

13 new fields to keep production flowing

To avoid a drop in output, operators plan to activate 13 new fields between 2025 and 2026. Eight of these will connect through subsea tiebacks to existing floating production units (FPUs), while five will operate via four new FPUs. 

One of the new facilities, Salamanca, will manage production from both the Leon and Castile fields.

The additional output from these new developments is expected to bring 85,000 barrels per day (b/d) online in 2025 and reach 308,000 b/d in 2026. 

For natural gas, the new fields will provide 0.09 Bcf/d in 2025 and rise to 0.27 Bcf/d the following year.

Key fields already producing in 2025

Three fields have already begun production this year:

• Whale started in January and is one of the Gulf’s largest new developments, with an expected peak of 85,000 b/d.

• Ballymore began in April via a subsea tieback to Blind Faith, aiming for 75,000 b/d.

• Dover also started in April and will contribute 15,000 b/d as a tieback to Appomattox.

More production ramping up in late 2025

June will mark the startup of Shenandoah, an FPU equipped for high-pressure deepwater output, initially at 120,000 b/d and increasing to 140,000 b/d in 2026. 

The Salamanca FPU, reconditioned from a decommissioned unit, will serve the Leon and Castile fields, with a capacity of 60,000 b/d and 40 million cubic feet of gas per day.

Other developments expected later in the year include Katmai West, Sunspear, Argos Southwest Extension, and Zephyrus Phase 1, all using tieback strategies.

Looking ahead to 2026 projects

In 2026, three more subsea tiebacks—Silvertip Phase 3, Longclaw, and Monument (which connects to the Shenandoah FPU)—will come online, reinforcing Gulf output stability.

Hurricane risk remains a concern

Despite these expansions, weather could impact operations. The 2025 Atlantic hurricane season is expected to be active, with 17 named storms predicted. Any significant storms in the Gulf may delay timelines and affect output.

New 2026 projects boost Gulf oil and gas production.