On 7 March 2018, the top bidders were announced in the Chapter 11 bankruptcy auction for Cobalt International Energy's deepwater Gulf of Mexico assets. Successful bidders include Total, Statoil, W&T Offshore and Navitas. Cobalt's portfolio was primarily comprised of pre-development, high-impact assets. Development of these assets not only represents a material growth opportunity for all bidders, but also a strategic priority in each of their portfolios. All bidders, however, will face the same challenges as Cobalt did in monetising these assets; chief among these challenges is the deployment of ultra-high pressure/ high temperature (ultra HP/HT) technology. Several key leases are also nearing expiration. We expect the transactions to close in Q2 2018.