McMoRan Exploration declares positive drilling outcome at Blueberry Hill
On Monday, McMoRan Exploration (MMR) reported positive drilling results at Blueberry Hill well in Louisiana. This deep gas exploratory well has been drilled to a true vertical depth of 21,900 feet. McMoRan intends to deepen the well to a proposed total depth of 24,000 feet once a mechanical problem is sorted out.
McMoRan presumes the Blueberry Hill well to be a large structure with substantial reserve potential and additional development and exploration possibilities. The company holds 150,000 gross acres in the Tiger Shoal/Mound Point area in Louisiana. McMoRan has made several breakthroughs in this region – including Flatrock, Hurricane, Hurricane Deep, JB Mountain and Mound Point – prior to the Blueberry Hill finding.
McMoRan is integrating the new findings from Blueberry Hill discovery into its existing database for this extremely prospective acreage position for future exploration opportunities.
McMoRan owns a 42.9% working interest and a 29.7% net revenue interest in the Blueberry Hill well. Plains Exploration and Production (PXP) holds 47.9% working interest in the same. On Monday, PXP and McMoRan closed at $25.42 and $5.04, respectively. We continue to maintain our Buy recommendation for PXP.
Read the full analyst report on “MMR”
Read the full analyst report on “PXP”
Zacks Investment Research
