PHOENIX, AZ, December 24, 2014 – Freeport-McMoRan Inc. (NYSE: FCX) announced today a successful production test from Freeport-McMoRan Oil & Gas's (FM O&G) Highlander discovery, located onshore in South Louisiana in the Inboard Lower Tertiary/Cretaceous trend. The production test, which was performed in the Cretaceous/Tuscaloosa section, indicated a flow rate of approximately 43.5 million cubic feet of natural gas per day (MMcf/d), approximately 21 MMcf/d net to FM O&G, on a 22/64th choke with flowing tubing pressure of 11,880 pounds per square inch. FM O&G and its partners expect to begin production in 2015 using facilities in the immediate area.

As previously reported, the Highlander discovery well was drilled to a total depth of approximately 29,400 feet in first-quarter 2014. Wireline log and core data obtained from the Wilcox and Cretaceous sand packages indicated favorable reservoir characteristics with approximately 150 feet of net pay. FM O&G has identified multiple prospects in the Highlander area where it controls rights to more than 60,000 gross acres.

James R. Moffett, Chairman of the Board; Richard C. Adkerson, Vice Chairman, and FCX President and Chief Executive Officer; and James C. Flores, Vice Chairman, and FM O&G President and Chief Executive Officer, said, "We are pleased with the results of the Highlander production test which confirm the favorable reservoir characteristics of this discovery. We congratulate our team on this accomplishment and we look forward to bringing this well on production in 2015."

FM O&G is operator of the Highlander well and holds a 72.0 percent working interest and an approximate 49 percent net revenue interest. Other working interest owners include Energy XXI LTD (Nasdaq: EXXI) (18.0%) and W. A. "Tex" Moncrief Jr. (10.0%). The Gulf Coast Ultra-Deep Royalty Trust (Nasdaq: GULTU) holds a 3.6 percent overriding royalty interest in the Highlander area.