Helix Announces Deepwater Gulf of Mexico Discovery

  Helix Announces Deepwater Gulf of Mexico Discovery

Business Wire

HOUSTON -- July 16, 2012

Helix Energy Solutions Group (NYSE: HLX) today announced an oil discovery at
the Danny II exploration well at the Bushwood Field located in Garden Banks
Block 506, approximately 145 miles offshore from Galveston, Texas. The Danny
II exploration well encountered more than 70 feet of high quality net pay.

Johnny Edwards, President of Energy Resource Technology GOM (ERT), a
wholly-owned subsidiary of Helix, stated, “Preliminary data from down-hole
test tools confirmed oil in the Danny II well with over 9,500 psi of
bottom-hole pressure. Additional testing to determine the composition of the
reservoir fluids is on-going. We will provide an update on Danny II after
completion.”

The Danny II exploration well was drilled to a total depth of approximately
14,750 feet, in water depths of approximately 2,800 feet. The well is
currently being completed and most likely will be developed via a subsea tie
back system to our 70% owned and operated East Cameron Block 381 platform
located approximately 31 miles to the north in 370 feet of water. First
production from Danny II is expected in the fourth quarter of 2012.

Helix holds a 50% working interest in the exploration well jointly with Deep
Gulf Energy LP (Operator) and Deep Gulf Energy II, LLC (both First Reserve
Corporation and Quintana Capital backed entities), who own the other 50%
working interest.

About Helix

Helix Energy Solutions Group, headquartered in Houston, Texas, is an
international offshore energy company that provides key life of field services
to the energy market as well as to its own oil and gas business unit. For more
information about Helix, please visit our website at www.HelixESG.com.

Forward-Looking Statements

This press release contains forward-looking statements that involve risks,
uncertainties and assumptions that could cause our results to differ
materially from those expressed or implied by such forward-looking statements.
Among the factors that could cause actual results to differ materially are
changes in prices of, demand for and supply of crude oil and natural gas;
actions of competitors; the inability or failure of the company's
joint-venture partners to fund their share of operations and development
activities; the potential failure to achieve expected net production from
existing and future crude oil and natural gas development projects; potential
delays in the development, construction or start-up of planned projects; the
potential disruption or interruption of production and development activities
due to war, accidents, political events, civil unrest, or severe weather;
government-mandated sales, divestitures, recapitalizations and changes in
fiscal terms or restrictions on scope of company operations; general economic
and political conditions; and other risks described from time to time in our
reports filed with the Securities and Exchange Commission ("SEC"), including
the Company's most recently filed Annual Report on Form 10-K and in the
Company’s other filings with the SEC, which are available free of charge on
the SEC’s website at www.sec.gov. We assume no obligation and do not intend to
update these forward-looking statements except as required by the securities
laws.

Contact:

Helix Energy Solutions Group, Inc.
Terrence Jamerson, 281-618-0400
Director, Finance & Investor Relations
 
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