Jim Bob Moffett - Deep Gas Play in Gulf of Mexico

Wells drilled on Gulf of Mexico Shelf — in water depths less than 200 meters 

• Approximately 50,000 drilled to depths less than or equal to 15,000 feet 
• Approximately 4600 wells drilled below 15,000 feet 
• Fourteen wells drilled below 2 5,000 feet 

Deep Gas Shelf Play 

• Shallow waters of GOM/ onshore South Louisiana 
• Targets sections above the salt weld 
• Multi-100 Bcfe-1 Tcfe reserve potential 
• Well depths range from 15,000 feet to 25,000 feet 
• Below previous production (i.e., deeper pool concept) 
• Near existing infrastructure which allows rapid development 

Ultra-Deep Shelf Play 

• Offshore ± 100 feet waters of GOM 
• Targets sections below the salt weld 
• +1 Tcfe of reserve potential 
• Well depths range from 25,000 feet to 35,000 feet 
• Deeply buried structures with analogs to deepwater discoveries 
• Near existing infrastructure; approximate 18-month lead time for production casing, trees & safety valves may be required due to increased pressures/ temperatures 

Both Deep Gas Shelf and Ultra-Deep Shelf P lays are vastly under - explored early results confirm presence of hydrocarbons at depth in GOM. 

Drilling activities to date have successfully confirmed geologic model and have indicated the potential for a major new geologic trend spanning 200 miles in the shallow waters of the GOM and onshore in the Gulf Coast area. 

Davy Jones — Major ultra-deep discovery 

Important geologic results combined with the data available from other wells are redefining the subsurface geologic landscape below 20,000 feet on the shelf of the Gulf of Mexico.

• Discovery Well 
  • Logged high-quality Wilcox pays on large structure 
  • All of the zones were full to base 

• Offset Well 
  • Confirmed Wilcox Sand continuity 2½ miles away 
  • Encountered Tuscaloosa Sands and Cretaceous Carbonate 

• Commenced completion of offset well in 4Q13 – Anticipate d f low testing in 1H14