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| (i)   | in any way acquire, offer or propose to acquire or agree to acquire, Beneficial Ownership of any (x) McMoRan Common Stock if such acquisition would result in PXP and its Affiliates having Beneficial Ownership of more than [__]%1 of the outstanding shares of McMoRan Common Stock, or (y) any other debt or equity securities of McMoRan; |
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| (ii)   | commence any tender or exchange offer for any securities of McMoRan; |
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| (iii)   | enter into or agree, offer, propose or seek (whether publicly or otherwise) to enter into, or otherwise be involved in or part of, any acquisition transaction, merger or other business combination relating to all or part of McMoRan or any of its subsidiaries or any acquisition transaction for all or part of the assets of McMoRan or any of its subsidiaries or any of their respective businesses; |
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| (iv)   | make, or in any way participate in, any “solicitation” of “proxies” (as such terms are defined under Regulation 14A under the Exchange Act, disregarding clause (iv) of Rule 14a-1(l)(2) and including any otherwise exempt solicitation pursuant to Rule 14a-2(b)) or consents to vote, or seek to advise or influence any person or entity with respect to the voting of, any voting securities of McMoRan; |
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| (v)   | call or seek to call a meeting of the shareholders of McMoRan or initiate any stockholder proposal for action by shareholders of McMoRan; |
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| (vi)   | form, join or in any way participate in a “group” (within the meaning of Section 13(d)(3) of the Exchange Act and the rules and regulations thereunder) with respect to McMoRan Common Stock or other debt or equity securities of McMoRan, or seek, propose or otherwise act alone or in concert with others, to influence or control the management, board of directors or policies of McMoRan; |
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| (vii)   | publicly announce or disclose any intention, plan or arrangement inconsistent with the foregoing; |
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| 1 To equal the percentage owned by PXP after closing of the sale and the financing. |
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| (viii)   | bring any action or otherwise act to contest the validity of this Section 5 or seek a release of the restrictions contained herein, or make a request to amend or waive any provision of this Section 5; or |
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| (ix)   | take any actions which would be inconsistent with the purpose and intent of this Section 5; |
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| (i)   | Transfers to any direct or indirect wholly owned Subsidiary of McMoRan; |
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| (ii)   | Transfers pursuant to a merger, tender offer or exchange offer or other business combination, acquisition of assets or similar transaction or change of control involving McMoRan or any of its subsidiaries, provided that such transaction has been approved by the Board; |
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| (iii)   | Transfers pursuant to a merger, tender offer or exchange offer or other business combination, acquisition of all or substantially all of the assets or similar transaction that would result in a change of control involving PXP; |
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| (iv)   | Transfers pursuant to the exercise of piggyback registration rights under the Registration Rights Agreement; and |
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| (v)   | pledges of McMoRan Common Stock under the PXP Credit Agreement or other bona fide instruments or agreements representing indebtedness for borrowed money. |
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| (i)   | THE SECURITIES REPRESENTED BY THIS INSTRUMENT HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR SECURITIES LAWS OF ANY STATE AND MAY NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF EXCEPT WHILE A REGISTRATION STATEMENT RELATING |
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| (ii)   | THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO TRANSFER AND OTHER RESTRICTIONS SET FORTH IN A STOCKHOLDER AGREEMENT, DATED AS OF [_________], 2010, COPIES OF WHICH ARE ON FILE WITH THE SECRETARY OF THE ISSUER. |
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|   | By: ______________________________ |
|--------|------------------------------------|

|   | Name: |
|--------|-------|

|   | Title: |
|--------|--------|

|   | MCMORAN EXPLORATION CO. |
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|   | By: ______________________________ |
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|   | Name: |
|--------|-------|

|   | Title: |
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| 1.   | Amend and restate the first parenthetical in the definition of “Interested Stockholder” in Article X, Section (k) of the McMoRan Amended and Restated Certificate of Incorporation as follows:  (other than the Corporation, any Subsidiary, Plains Exploration & Production Company, any Employee Benefit Plan or any fiduciary with respect to an Employee Benefit Plan acting in such capacity, any person owning Capital Stock as of November 9, 1998, or any Affiliate or Associate of any of the foregoing) |
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| 2.   | Add the following language at the end of the definition of “Continuing Director” in Article X(f) of the McMoRan Amended and Restated Certificate of Incorporation: “For purposes of this Amended and Restated Certificate of Incorporation, directors who are not nominated for or designated for election by an Interested Stockholder shall not be deemed to be an Affiliate or Associate of such Interested Stockholder.” |
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