The operator has tried unsuccessfully to find alternatives that would allow it to extend the lease period for the field, which it suspended development of in late 2008 citing falling commodities prices and rising project costs.
Callon envisaged the development as a multi-well subsea tieback to the adjacent Conoco- Phillips-operated Magnolia tension-leg platform.
“With the final lease expiration current anticipated to be in June 2009 it is unlikely that we will be able to resume commercial operations,”said Callon chief executive Fred Callon.
“We've
