W&T Offshore, Inc. (W&T) operates as an independent oil and natural gas producer with substantially all its operations offshore in the Gulf of America. The company is active in the acquisition, exploration and development of oil and natural gas properties.
The company operates in one reportable segment. As of December 31, 2024, the company held working interests in 52 offshore producing fields in federal and state waters. The company’s producing fields are located in federal and state waters in...
W&T Offshore, Inc. (W&T) operates as an independent oil and natural gas producer with substantially all its operations offshore in the Gulf of America. The company is active in the acquisition, exploration and development of oil and natural gas properties.
The company operates in one reportable segment. As of December 31, 2024, the company held working interests in 52 offshore producing fields in federal and state waters. The company’s producing fields are located in federal and state waters in the Gulf of America in water depths ranging from less than 10 feet up to 7,300 feet.
Business Strategy
The Gulf of America offers unique advantages, and the company is uniquely positioned to create value with a diverse portfolio in valuable shelf, deep shelf, and deepwater projects. Its diverse portfolio of operations in the Gulf of America enables stacked pay development, attractive primary production, and recompletion opportunities. The company uses advanced seismic and geoscience tools to execute successful drilling projects.
The company follows a proven and consistent business strategy, such as maintaining high-quality conventional asset base with low decline; capitalizing on unique and accretive acquisition opportunities; and maintain safety, sustainability and corporate responsibility as key principles for operations across all areas of its business.
The company intends to execute the following elements of its business strategy in order to achieve its strategic goals include exploiting existing and acquired properties to add additional reserves and production; exploring for reserves on the company's extensive acreage holdings and in other areas of the Gulf of America; acquiring reserves with substantial upside potential and additional leasehold acreage complementary to the company's existing acreage position at attractive prices; and carrying out the company's business strategy in a safe and socially responsible manner.
Oil and Natural Gas Marketing and Delivery Commitments
The market for the company's oil, NGL, and natural gas production depends on factors beyond its control, including the extent of domestic production and imports of oil, NGLs, and natural gas; the proximity and capacity of natural gas pipelines and other transportation facilities; the demand for oil, NGLs, and natural gas; the marketing of competitive fuels; and the effect of state and federal regulation. The company sells its oil, NGLs and natural gas to third-party customers. In 2024, approximately 44% and 12% of its receipts from sales of oil, NGLs and natural gas were received from BP Products North America and Chevron-Texaco.
Seasonality
Generally, the demand for and price of natural gas increases during the winter months and decreases during the summer months.
Environmental, Health and Safety Matters and Government Regulations
The federal environmental laws and regulations applicable to the company and its operations include, among others, the following:
The Resource Conservation and Recovery Act, as amended, regulates the generation, transportation, storage, treatment and disposal of non-hazardous and hazardous wastes and can require cleanup of hazardous waste disposal sites;
The Comprehensive Environmental Response, Compensation, and Liability Act, as amended, ('CERCLA') and comparable state laws impose liability, without regard to fault or the legality of the original conduct, on certain classes of persons that are considered to be responsible for the release of a 'hazardous substance' into the environment;
The Clean Air Act, as amended (the CAA), and comparable state and local requirements restrict the emission of air pollutants from many sources through the imposition of air emission standards, construction and operating permitting programs and other compliance requirements;
The Clean Water Act, as amended, and analogous state laws, prohibit any discharge of pollutants, including spills and leaks of oil and other substances, into waters of the United States, except in compliance with permits issued by federal and state governmental agencies;
The Oil Pollution Act of 1990, as amended (the OPA), holds owners and operators of offshore oil production or handling facilities, including the lessee or permittee of the area where an offshore facility is located, strictly liable for the costs of removing oil discharged into waters of the United States, including the OCS or adjoining shorelines, and for certain damages from such spills;
The Endangered Species Act, as amended, restricts activities that may affect federally identified endangered and threatened species or their habitats;
The Migratory Bird Treaty Act, as amended, implements various treaties and conventions between the United States and certain other nations for the protection of migratory birds; and
The National Environmental Policy Act, as amended, requires careful evaluation of the environmental impacts of oil and natural gas production activities on federal lands.
In addition to the federal laws and regulations above, the company is subject to the requirements of the Occupational Safety and Health Administration ('OSHA') and comparable state statutes, where applicable. These laws and the implementing regulations strictly govern the protection of the health and safety of employees. The OSHA hazard communication standard, the EPA community right-to-know regulations under Title III of CERCLA and similar state statutes, where applicable, require that the company organizes and/or discloses information about hazardous materials used or produced in its operations.
Other Regulation of the Oil and Natural Gas Industry
The company's operations on federal oil and natural gas leases in the OCS waters of the Gulf of America are subject to regulation by the BSEE, the BOEM and the ONRR, all of which are agencies of the U.S. Department of the Interior (the 'DOI').
History
W&T Offshore, Inc. was founded in 1983. The company was incorporated in 2004.