Talos Heads Into Second Monument Well as Offshore Deals Pile Up

Talos Energy said on June 30, 2026 that drilling is set to begin on the second development well at Monument, to be followed by completion work on both wells. The company gave no start date. Our tracking window for the step ran from June 30 to September 28, and the inputs contain no later update confirming that drilling began. First oil is expected "by late 2026."

Why Monument matters

The first Monument well, as announced by the operator, reached its total measured depth of 32,250 feet and found 245 feet of net pay, which Talos said confirmed pre-drill expectations. The inputs do not give Talos's share of Monument or the well's expected output, so the size of the contribution is unclear.

What Talos holds

Talos reports an oil reserve (P50) of 7.076 million barrels for the company total, with a 100% company interest, as stated on July 1. The inputs do not say what this figure covers, so it should not be compared directly with the reserves of the pending acquisition without checking the underlying filing.

That acquisition is the other large item. Talos and a Ridgewood Energy affiliate agreed to buy Shell Offshore's Gulf assets. Talos's share is $850 million before adjustments, which it expects to come to about $450–$500 million net. That estimate assumes a September 1 close and credits cash flow since July 1, 2025. The package includes:

• 50% and operatorship of the Coulomb field
• A 25% stake in the BP-operated Na Kika platform and four associated fields
• About 23 million barrels of oil equivalent of proved reserves and 10 million of probable reserves, per the company

What is uncertain

Closing is expected by the end of 2026 and depends on antitrust clearance and expiry of preferential rights. BP has a 30-day right to take the Na Kika interests. If it does, Talos would get only the Coulomb interest. Talos said it would update 2026 guidance after closing.

Financing has moved on. Talos issued $800 million of 8.000% notes due 2034 in July, partly to redeem 9.000% notes and partly to fund the deal.

Ownership and results

BlackRock reported 19,470,315 shares, or 11.70% of votes, on July 30. A Talos insider, Empresarial De Capitales, sold 339,568 shares at $16.80 in May. For the quarter ended June 30, Talos reported revenue of $664.8 million and net income of $149.7 million.