Chevron Announces First Oil at Ballymore Project in Gulf of Mexico  

The logo and trading information for Chevron is displayed on a screen on the floor of the New York Stock Exchange (NYSE) in New York City, US, June 27, 2022. (Reuters)
The logo and trading information for Chevron is displayed on a screen on the floor of the New York Stock Exchange (NYSE) in New York City, US, June 27, 2022. (Reuters)
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Chevron Announces First Oil at Ballymore Project in Gulf of Mexico  

The logo and trading information for Chevron is displayed on a screen on the floor of the New York Stock Exchange (NYSE) in New York City, US, June 27, 2022. (Reuters)
The logo and trading information for Chevron is displayed on a screen on the floor of the New York Stock Exchange (NYSE) in New York City, US, June 27, 2022. (Reuters)

Chevron has started oil and gas production from a project in the US Gulf of Mexico, the oil major said on Monday, bringing the company a step closer toward its goal of growing production from the ocean basin by 50% this year.

The $1.6 billion project called Ballymore, located about 160 miles southeast of New Orleans, is composed of three wells that are expected to produce up to 75,000 barrels of oil per day.

Chevron aims to grow oil and gas production from the Gulf to 300,000 barrels of oil equivalent per day in 2026, and at the same time, it is working to cut up to $3 billion in costs across the business.

Instead of building a new production platform for Ballymore, the wells will transport oil and gas back to an existing platform, which the company said will allow it to increase production at less expense.

“Ballymore is interesting in that it's a tie-back to an existing facility, which has allowed us to bring production to market more quickly,” said Bruce Niemeyer, president of Americas exploration and production, in an interview.

The project is also Chevron's first in a geological formation of the Gulf called Norphlet, where the oil and gas industry has historically had fewer discoveries than in other parts of the ocean basin, he added.

Advancements in technology are key to expanding resource exploration, such as the use of ocean bottom nodes, which allow geophysicists to collect better data underneath the ocean floor, Niemeyer said.

Chevron is the operator of Ballymore with a 60% interest, while co-owner TotalEnergies has 40%.

Ballymore holds an estimated 150 million barrels of oil equivalent in potentially recoverable resources.

The company owns 370 leases in the Gulf of Mexico and expects to participate in a lease sale this year by US President Donald Trump's administration, Niemeyer said.

The Ballymore start-up comes after Chevron announced first oil in August at Anchor, a Gulf of Mexico project that is a technological breakthrough with the ability to operate in deepwater pressures of up to 20,000 pounds per square inch.



G7 Leaders Meet in Canada Hoping to Avoid Trump Clash

 Canada's Prime Minister Mark Carney attends a bilateral meeting with Britain's Prime Minister Keir Starmer (not pictured), before the start of the G7 summit, at Parliament Hill in Ottawa, Ontario Canada, June 15, 2025. (Reuters)
Canada's Prime Minister Mark Carney attends a bilateral meeting with Britain's Prime Minister Keir Starmer (not pictured), before the start of the G7 summit, at Parliament Hill in Ottawa, Ontario Canada, June 15, 2025. (Reuters)
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G7 Leaders Meet in Canada Hoping to Avoid Trump Clash

 Canada's Prime Minister Mark Carney attends a bilateral meeting with Britain's Prime Minister Keir Starmer (not pictured), before the start of the G7 summit, at Parliament Hill in Ottawa, Ontario Canada, June 15, 2025. (Reuters)
Canada's Prime Minister Mark Carney attends a bilateral meeting with Britain's Prime Minister Keir Starmer (not pictured), before the start of the G7 summit, at Parliament Hill in Ottawa, Ontario Canada, June 15, 2025. (Reuters)

Group of Seven leaders gather in the Canadian Rockies starting on Sunday amid growing splits with the United States over foreign policy and trade, with host Canada striving to avoid clashes with President Donald Trump.

While Prime Minister Mark Carney says his priorities are strengthening peace and security, building critical mineral supply chains and creating jobs, issues such as US tariffs and the conflicts in the Middle East and Ukraine are expected to feature heavily.

Israel and Iran launched fresh attacks on each other overnight into Sunday, killing scores hours before the leaders of the world's industrialized democracies meet.

"This issue will be very high on the agenda of the G7 summit," German Chancellor Friedrich Merz said. He said his goals are for Iran to not develop or possess nuclear weapons, ensuring Israel's right to defend itself, avoiding escalation of conflict and creating room for diplomacy.

The summit takes place in the mountain resort of Kananaskis, some 90 km (56 miles) west of Calgary.

The last time Canada played host, in 2018, Trump left the summit before denouncing then Canadian Prime Minister Justin Trudeau as "very dishonest and weak" and instructing the US delegation to withdraw its approval of the final communique.

"This will be a successful meeting if Donald Trump doesn't have an eruption that disrupts the entire gathering. Anything above and beyond that is gravy," said University of Ottawa international affairs professor Roland Paris, who was foreign policy adviser to Trudeau.

Trump has often mused about annexing Canada and arrives at a time when Carney is threatening reprisals if Washington does not lift tariffs on steel and aluminum.

"The best-case scenario... is that there's no real blow-ups coming out of the back end," said Josh Lipsky, chair of international economics at the Atlantic Council think tank and a former White House and State Department official.

Carney's office declined to comment on how the Israeli strikes would affect the summit.

Diplomats said Canada has ditched the idea of a traditional comprehensive joint communique and would issue chair summaries instead, in hopes of containing a disaster and maintaining engagement with the US.

A senior Canadian official told reporters that Ottawa wanted to focus on actions the seven members - Canada, France, Germany, Italy, Japan, the United Kingdom and the United States - could take together.

Canadian Senator Peter Boehm, a veteran former diplomat who acted as Trudeau's personal representative to the 2018 summit, said he had been told the summit would last longer than usual to give time for bilateral meetings with the US president.

Expected guests for parts of the Sunday to Tuesday event include leaders from Ukraine, Mexico, India, Australia, South Africa, South Korea and Brazil.

"Many will want to talk to President Trump about their own particular interests and concerns," Boehm said by phone.

A senior US official said on Friday working discussions would cover trade and the global economy, critical minerals, migrant and drug smuggling, wildfires, international security, artificial intelligence and energy security.

"The president is eager to pursue his goals in all of these areas including making America’s trade relationships fair and reciprocal," the official said.

The visit of Ukrainian President Volodymyr Zelenskiy to the Oval Office in February descended into acrimony and has served as a warning for other world leaders about the delicate dance they face in negotiating with Trump.

But diplomats say the frustration of dealing with the Trump administration has made some keener to assert themselves.

'THE BIG TEST'

Canada has long been one of Ukraine's most vocal supporters. Trump came to power promising to end the war with Russia within 24 hours, but diplomatic efforts have stalled.

One Ukrainian official involved in preparations for the summit said hope had faded for a strong statement in support of Ukraine. Instead, success for Kyiv would merely constitute an amicable meeting between Trump and Zelenskiy.

A European official said the G7 summit and the NATO summit in The Hague later in June provided an opportunity to underscore to Trump the need to press ahead with a sanctions bill put together by US senators alongside a new European package to pressure Russia into a ceasefire and broader talks.

Trump’s first international summit of his second term will offer some early clues on whether he is interested in working with allies to solve common problems, said Max Bergmann, a director at the Center for Strategic and International Studies.

“The big overarching question here is, basically, is the United States still committed to formats like the G7? That is going to be the big test,” Bergmann said.