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    Kerr McGee and Ocean Energy have exchanged 33% of their interests in 20 Atwater Valley leases in the Gulf of Mexico and 50% in two leases in adjacent Lloyd Ridge, for 50% of BHP Billiton’s interest in 32 leases and 25% of its interest in two leases. Operators will not change. Drilling is slated to begin before year-end. Kerr McGee and Ocean Energy have now amassed more than 60 blocks and doubled their identified prospects, to about 15 in this deepwater play.

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