McMoRan Exploration Co., New Orleans, (NYSE: MMR) has closed the acquisition of all of the Gulf of Mexico shallow-water producing properties of Newfield Exploration Co., Houston, (NYSE: NFX) for $1.1 billion in cash and assumed abandonment liabilities of wells and platforms. The assets include 124 fields on 148 offshore blocks on 1.3 million gross lease acres on the Gulf shelf. Newfield will retain a working interest ranging from 10% to 25% in the Treasure Island and Treasure Bay acreage, which encompasses 85 lease blocks. Also, McMoRan has joined Newfield in a 50-50 joint venture on primary shelf acreage that covers approximately 100,000 gross acres on 19 lease blocks, including an undivided interest in Newfield's ultradeep acreage in its Treasure Island and Treasure Bay exploration program. McMoRan is now operator of the Treasure Island leasehold. Net production is approximately 270 million cubic feet of gas equivalent per day. Proved reserves are approximately 323 billion cubic feet of gas equivalent (70% gas).

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