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**EXECUTION      VERSION**

**Senior      Term Loan**
**      Agreement**

**Dated      as of**

**January      18, 2007**

**among**

**McMoRan      Oil & Gas LLC**
**,**

**as      Borrower,**

**JPMorgan      Chase Bank, N.A.**
**,**

**as      Administrative Agent,**

**TD      SECURITIES (USA) LLC,**

**as      Syndication**
** **
**Agent**
**,**

**and**

**The      Lenders Party Hereto**

**Co-Lead      Arrangers and Joint Bookrunners**

**J.P.      Morgan Securities Inc. and TD Securities (USA) LLC**

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**TABLE      OF CONTENTS**

**                                                                                                                                                                                                                    Page**

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**THIS      SENIOR TERM LOAN AGREEMENT**
** **

**ARTICLE      I**

**Definitions      and Accounting Matters**

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*pro      forma*

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|   | (a) | the                Parent; |
|--------|-----|----------------------------|

|   | (b) | K-Mc                Venture I LLC, a Delaware limited liability                company; |
|--------|-----|-----------------------------------------------------------------------------------------|

|   | (c) | Freeport                Canadian Exploration Company, a Delaware                corporation; |
|--------|-----|----------------------------------------------------------------------------------------------|

|   | (d) | McMoRan                International Inc., a Delaware corporation; and |
|--------|-----|------------------------------------------------------------------------|

|   | (e) | each                other Domestic Subsidiary that guarantees the Indebtedness pursuant                to                Section                8.14  (a). |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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**ARTICLE      II**

**The      Credits**

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**ARTICLE      III**

**Payments      of Principal and Interest; Prepayments; Fees**

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**ARTICLE      IV**

**Payments;      Pro Rata Treatment; Sharing of Set-offs**

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**ARTICLE      V**

**Increased      Costs; Break Funding Payments; Taxes**
**;      Illegality**

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**ARTICLE      VI**

**Conditions      Precedent**

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**ARTICLE      VII**

**Representations      and Warranties**

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**ARTICLE      VIII**

**Affirmative      Covenants**

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**ARTICLE      IX**

**Negative      Covenants**

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**ARTICLE      X**

**Events      of Default; Remedies**

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*(i)*
*first*

*(ii)*
*second*

*(iii)*
*third*

*(iv)*
*fourth*

*(v)*
*fifth*

*(vi)*
*sixth*

**ARTICLE      XI**

**The      **
**Administrative      Agent**

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**ARTICLE      XII**

**Miscellaneous**

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**THIS      AGREEMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL AGREEMENT AMONG      THE      PARTIES HERETO AND THERETO AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR,      CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO      UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES. **

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