Talos Energy: Growing Profits by the Barrel

In the midst of the disaster left behind by Hurricane Harvey, a deal was forged between Talos Energy and the then bankrupt Stone Energy. Behind the computer screen where the deal took place, sat the head of the Talos Energy, Tim Duncan. Duncan, Talos’ Chief Executive, worked tirelessly from the safety of his parent’s dry Houston home to ensure the $2.5 million merger deal would take place. Once the merger is active, Duncan will be in charge of company who holds an annual revenue of $900 million! Before obtaining the title of Chief Executive of Talos Energy, Tim Duncan began his oil industry adventure in 1996 when he started working for Zilkha Energy. Zilkha began to understand the technological trends for seismic measuring and bought multiples of shallow-water leases in the early days.

After only one year, the company sold for $1.2 million. Duncan would then go on to assist in launching Gryphon Exploration in 2000 and a few years later cofounded Phoenix Exploration in 2006. In 2012, Tim Duncan, with funding from Riverstone and Apollo, founded Talos Energy. Talos Energy is an offshore drilling company based in Houston, Texas, and at the turn of the merger, will host the majority of offshore rigs in the Gulf of Mexico waters. These rigs will not only be in American territory, but Duncan will work to ensure the safety of drilling in Mexico’s offshore territories as well.

Duncan has been cited by oil industry professionals as having a knack for taking disaster situations and turning them into profitable attempts. Point in case, in 2005, Hurricane Rita demolished a 13,000 ton Chevron platform in the Gulf of Mexico. Talos Energy stepped forward to assist in cleaning up the damaged platform and would eventually take over the platform, now producing roughly 16,000 barrels per day.Today, the Gulf of Mexico is responsible for producing 1.6 million barrels every single day. Tim Duncan knows that offshore drilling can be extremely expensive and dangerous, but can be extensively rewarding for many decades to come, compared to onshore drilling that can run dry after a short time.

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