In a recent report from Deutsche Bank, Freeport-McMoRan (NYSE:

) agreed to purchase US$500m of 5.75% convertible perpetual preferred shares (preferred shares) that McMoRan Exploration Co. (NYSE:

) Though MMR shares some key executives with FCX, it is an independent publicly owned company engaged in oil & gas E&P in the shallow waters of Gulf of Mexico. FCX views this transaction as a one-off opportunity hard to pass by, with two of the properties, Davy Jones and Blackbeard viewed as world class on American soil and the "Grasberg of the Gulf of Mexico". Lastly, FCX stated that this investment would not derail the development of its organic growth projects in copper and moly, but denotes its exploration leverage interest. Freeport McMoRan closed Monday at $83.35