Energy XXI Bermuda Ltd. (EXXI:US), owner of a 15.8 percent stake in the Davy Jones prospect, said a decision on how to proceed with the No. 1 ultra-deep well in the U.S. Gulf of Mexico may come in the next several months.
A second well at the site may be completed in late summer or early fall, John Schiller, chairman and chief executive officer of Hamilton, Bermuda-based Energy XXI, said in an interview at the Howard Weil Energy Conference in New Orleans today.
A successful flow test for Davy Jones No. 1 has been repeatedly delayed as operator McMoRan Exploration Co. (MMR:US) contended with stuck drilling equipment and other blockages at the well, which is about 5.5 miles (8.8 kilometers) deep and located in shallow water 12 miles off the coast of Louisiana.
McMoRan, owner of 63.4 percent of Davy Jones, said Jan. 30 it was developing plans to pump hydraulic fracturing fluid into the well to help unblock it.
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