Shares of McMoRan Exploration Co. jumped to a new high on Wednesday as the independent petroleum producer said its Davy Jones well drilled deeper and encountered even more oil and gas resources.
Shares climbed 92 cents, or 6 percent, to $16.22. Earlier shares hit a new 52-week high of $16.85.
McMoRan said its Davy Jones well in the Gulf of Mexico drilled from 28,263 feet to 28,603 feet and encountered 65 net feet of new hydrocarbon bearing sand, which could contain a mixture of crude oil and natural gas. The exact breakdown of the resource has not yet been determined.
The new sand interval combined with the 135 feet of net pay announced last week brings the total possible productive net sands to 200 feet in the Davy Jones well.
McMoRan operates the Davy Jones prospect and holds a 32.7 percent working interest. Plains Exploration & Production Co. holds a 27.7 percent stake and Energy XXI has a 15.8 percent stake, among others. (AP)
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