PHOENIX--(BUSINESS WIRE)--
Freeport-McMoRan Inc. (NYSE: FCX) announced today a successful
production test from 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, indicated a flow rate of
approximately 43.5 million cubic feet of natural gas per day (MMcf/d),
approximately 21 MMcf/d net to FM O&G, on a 22/64th choke with flowing
tubing pressure of 11,880 pounds per square inch. FM O&G and its
partners expect to begin production in 2015 using facilities in the
immediate area.
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. FM O&G has identified multiple prospects in the
Highlander area where it controls rights to more than 60,000 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, “We are pleased with the results of the Highlander production test
which confirm the favorable reservoir characteristics of this discovery.
We congratulate our team on this accomplishment and we look forward
to bringing this well on production in 2015.”
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.
Source: Freeport-McMoRan Inc.