Talos Energy has restarted production at its Sunspear field in the US Gulf after an equipment issue was resolved, the Houston-based offshore operator said Wednesday.
The well at Sunspear was shut in after a surface-controlled subsurface safety valve failed in July, shortly after the well began producing, according to Talos.
The valve was successfully replaced in late September, Talos said in its latest quarterly earnings report.
Crude from Sunspear will flow to the Talos-owned Prince facility in the US Gulf.
Meanwhile, Talos said the first well at Monument, a subsea tieback that will be operated by Beacon Offshore Energy, should spud early in the first quarter of 2026. First production from the well is expected by late next year.
Talos owns a 29.7% interest in Monument. Beacon is the operator at 41.7%, and Navitas Petroleum holds the remaining 28.6%.
The company is still planning to drill an appraisal well at its promising Daenerys field in the second quarter of 2026 following a successful exploration well in August.
Talos produced 95,200 barrels of oil equivalent per day in the third quarter, a 1.35% decrease from the same frame a year ago.
The offshore operator brought in $450 million in revenue in the third quarter, an 11.6% year-over-year drop.
It posted a net loss of $95.9 million, a more than 200% plummet from last year’s $88 million profit in the third quarter. The company said the loss included “$60.2 million of non-cash ceiling test impairment charges”.
Despite the quarterly loss, Talos said it has “accelerated progress” on its $100 million optimisation plan, which was revealed in June.
The company said it has already surpassed its year-end target of an additional $25 million in free cash flow, achieved through efficiency gains and reductions in capital expenditures and operational costs.
“To date, the team has realized over $40 million in free cash flow enhancements, giving us excellent momentum toward achieving our $100 million target in 2026,” Talos chief executive Paul Goodfellow said in a statement.