McMoRan tests flow at Mound Point Offset prospect

McMoRan Exploration Co. has tested production on the Louisiana state lease 240 Mound Point Offset exploratory well, which the company drilled to 19,000 ft total depth during 2Q 2003. The production test indicated a flow rate of 22.3 MMcf/d of gas, 413 b/d of condensate, and 470 b/d of water on a 20/64-in. choke.

McMoRan Exploration Co. has tested production on the Louisiana state lease 240 Mound Point Offset exploratory well, which the company drilled to 19,000 ft total depth during 2Q 2003. The production test indicated a flow rate of 22.3 MMcf/d of gas, 413 b/d of condensate, and 470 b/d of water on a 20/64-in. choke.

Flowing tubing pressure was 11,342 lb/psi and 13,229 lb/psi shut-in tubing pressure at the end of the test period. Engineering analysis indicates the well has a potential of producing 50 MMcf/d of equivalent. Initial production is expected in 3Q 2003. The company is developing plans for the next Mound Point well.

The Mound Point Offset well is 6 mi northeast of the JB Mountain discovery in 10-20 ft of water. Initial production from the JB Mountain well began in June, but sustained rates have yet to be achieved while operator El Paso addresses start-up issues associated with delivering gas to the pipelines. The Mound Point Offset well is 1 mi from McMoRan's Mound Point No. 2 well, which encountered hydrocarbons in an older zone than tested in the Mound Point Offset well and flowed at various rates from 10-20 MMcf/d during January 2002, before mechanical problems had it shut-in and temporarily abandoned.

The Mound Point Offset rig is moving to the JB Mountain Offset well at South Marsh Island block 223. The rig that drilled the JB Mountain Offset prospect has moved after reaching 7,800 ft toward a 22,000 ft proposed total depth.

A new rig will drill the Hurricane prospect on South Marsh Island block 217, 2 mi northwest of the JB Mountain discovery well. The well, which has a proposed total depth of 16,500 ft, will target intermediate sands seen in the JB Mountain well.

08/12/03

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