What we are really focused on doing is becoming excellent in exploration and in operations. I think there is an evidence to prove to you that we are doing that. Our strategy is to leverage the high cash flows that we enjoy from the conventional Gulf of Mexico to grow oil in material impact areas, to grow gas in priced advantage basins which means liquids rich today, to limit our reinvestment in our legacy assets, exercise discipline to what we are doing there is investing only in oil development programs, so we are not chasing any gas prospects that are in the Gulf of Mexico conventional shale and exercising discipline in our reinvestment plan there. And then we are also always interested in acquiring high quality properties.From a portfolio management point of view we are balanced across different risk profiles, you will see that if you look at the chart on the right there, we have a mix of very low risk liquids rich Marcellus Shale, development opportunities and shelf oil development opportunities that generally have an 80% plus probability of working, balanced with some exploration at the high end in Deep Water Gulf of Mexico and in deep liquids gas exploration which is currently onshore South Louisiana. So, we have both ends of the spectrum covered there with low risk development and some higher risk but potentially higher reward exploration.
Stone Energy's CEO Presents At Barclays Capital CEO Energy-Power Conference - Transcript
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