Freeport-McMoRan Announces 75MMcf/day Successful Production Test Prior to Placing Highlander Well on Production
February 20 2015 - 11:30AM
Business Wire
Freeport-McMoRan Inc. (NYSE: FCX) announced today the results of
additional production testing on Freeport-McMoRan Oil & Gas’s
(FM O&G) Highlander discovery, located onshore in South
Louisiana in the Inboard Lower Tertiary/Cretaceous trend. The
production test, which was performed in the Cretaceous/Tuscaloosa
section, utilized expanded testing equipment and indicated a flow
rate of approximately 75 million cubic feet of natural gas per day
(MMcf/d), approximately 37 MMcf/d net to FM O&G, on a 42/64th
choke with flowing tubing pressure of 10,300 pounds per square
inch. FM O&G expects to immediately commence production using
FM O&G facilities in the immediate area. FM O&G plans to
install additional amine processing facilities to accommodate the
higher rates.
As previously reported, the Highlander discovery well was
drilled to a total depth of approximately 29,400 feet in
first-quarter 2014. Wireline log and core data obtained from the
Wilcox and Cretaceous sand packages indicated favorable reservoir
characteristics with approximately 150 feet of net pay. In December
2014, FM O&G tested the well at a rate of approximately 43.5
MMcf/d on a 22/64th choke with flowing tubing pressure of 11,880
pounds per square inch. A second well has been identified and
future plans are being evaluated in this high potential area. FM
O&G has identified multiple prospects in the Highlander area
where it controls rights to more than 50,000 gross acres.
James R. Moffett, Chairman of the Board; Richard C. Adkerson,
Vice Chairman, and FCX President and Chief Executive Officer; and
James C. Flores, Vice Chairman, and FM O&G President and Chief
Executive Officer, said, “This additional test data confirms the
highly favorable reservoir characteristics of this
discovery. We look forward to immediately establishing
commercial production from this important discovery.”
FM O&G is operator of the Highlander well and holds a 72.0
percent working interest and an approximate 49 percent net revenue
interest. Other working interest owners include Energy XXI LTD
(Nasdaq: EXXI) (18.0%) and W. A. “Tex” Moncrief Jr. (10.0%). The
Gulf Coast Ultra Deep Royalty Trust (Nasdaq: GULTU) holds a 3.6
percent overriding royalty interest in the Highlander area.
FCX is a premier U.S.-based natural resources company with an
industry-leading global portfolio of mineral assets, significant
oil and gas resources and a growing production profile. FCX is the
world's largest publicly traded copper producer.
FCX's portfolio of assets includes the Grasberg minerals
district in Indonesia, one of the world's largest copper and gold
deposits; significant mining operations in the Americas, including
the large-scale Morenci minerals district in North America and the
Cerro Verde operation in South America; the Tenke Fungurume
minerals district in the Democratic Republic of Congo; and
significant oil and natural gas assets in North America, including
reserves in the Deepwater Gulf of Mexico (GOM), onshore and
offshore California and in the Haynesville natural gas shale play,
and an industry-leading position in the emerging shallow water
Inboard Lower Tertiary/Cretaceous natural gas trend on the Shelf of
the GOM and onshore in South Louisiana. Additional information
about FCX is available on FCX's website at "www.fcx.com."
Cautionary Statement Regarding Forward-Looking
Statements: This press release contains forward-looking
statements, which are all statements other than statements of
historical facts, such as expectations relating to production and
sales volumes, development and production activities and capital
expenditures. The words “anticipates,” “may,” “can,” “plans,”
“believes,” "potential," “estimates,” “expects,” “projects”,
"targets," “intends,” “likely,” “will,” “should,” “to be,” and any
similar expressions are intended to identify those assertions as
forward-looking statements. FCX cautions readers that
forward-looking statements are not guarantees of future performance
and its actual results may differ materially from those
anticipated, projected or assumed in the forward-looking
statements. Important factors that can cause FCX's actual results
to differ materially from those anticipated in the forward-looking
statements include production rates, industry risks, regulatory
changes, drilling results, weather- and climate-related risks and
other factors described in more detail under the heading “Risk
Factors” in FCX's Annual Report on Form 10-K for the year ended
December 31, 2013, filed with the U.S. Securities and Exchange
Commission (SEC) as updated by FCX’s subsequent filings with the
SEC.
Investors are cautioned that many of the assumptions on which
FCX's forward-looking statements are based are likely to change
after its forward-looking statements are made, including for
example commodity prices, which FCX cannot control, and production
volumes and costs, some aspects of which FCX may or may not be able
to control. Further, FCX may make changes to its business plans
that could or will affect its results. FCX cautions investors that
it does not intend to update forward-looking statements more
frequently than quarterly notwithstanding any changes in FCX's
assumptions, changes in business plans, actual experience or other
changes, and FCX undertakes no obligation to update any
forward-looking statements.
Freeport-McMoRan Inc.Financial
Contacts:Kathleen L. Quirk,
602-366-8016orDavid P. Joint,
504-582-4203orMedia Contact:Eric E. Kinneberg,
602-366-7994
Freeport McMoRan (NYSE:FCX)
Historical Stock Chart
From Mar 2024 to Apr 2024
Freeport McMoRan (NYSE:FCX)
Historical Stock Chart
From Apr 2023 to Apr 2024