Harbour Energy PLC (LSE:HBR) has announced development plans have been submitted for work to begin on the Zama oil field offshore Mexico.
State-owned Petroleos Mexicanos (Pemex) submitted the plans, Harbour said in a statement, on behalf of a consortium of firms looking to install two offshore platforms on the field, alongside 46 wells and pipelines to a new facility at Dos Bocas on the coast.
FTSE 250-listed Harbour and partners, Pemex, Wintershall Dea, and Talos Energy, also agreed to form an integrated team to run the development, as well as initial terms on the sales from Zama.
“This marks an important milestone towards delivering safe and efficient first oil from the Zama field,” executive vice president Stuart Wheaton said.
“Once onstream [it] will contribute significantly to both Harbour's production and Mexico's domestic energy supply,” he added.
Harbour confirmed front end engineering and planning work would carry on as the firms await approval from Mexico, with a final investment decision set to be made once this is granted.
The North Sea-focused oil firm's shares fell 6.8% on the news to 234p.