Good morning. My name is Stephanie and I will be your conference operator today. At this time, I would like to welcome everyone to the First Quarter 2014 Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers’ remarks, there will be a question-and-answer session. (Operator Instructions) Thank you. David Welch, Chairman and CEO of Stone Energy, you may begin your conference.

Okay. Thank you very much, Stephanie and welcome everyone to our first quarter call. Ken Beer, our Executive Vice President and Chief Financial Officer will begin the meeting this morning with our Safe Harbor statement and a review of our recent financial performance for the quarter and guidance for the remainder of the year. He will then turn it back over to me for an operations update and additional comments on the execution of our five-year plan. So, Ken to you?

Thank you, Dave. Let me first start with the forward-looking statement. In this conference call, we may make forward-looking statements within the meanings of the Securities Act of 1933 and the Securities Exchange Act of 1934. These forward-looking statements are subject to all of the risks and uncertainties normally incident to the exploration of foreign development production and sale of oil and natural gas. We urge you to read our 2013 Annual Report on Form 10-K and our most recent 10-Q that was filed last evening and a discussion of the risks that could cause our actual results to differ materially from those in any forward-looking statements we make today. In addition in this call, we may refer to financial measures that maybe deemed non-GAAP financial measures as defined under the Exchange Act. Please refer to the press release we issued yesterday, which is posted on our website for a reconciliation of the differences between these financial measures and the most directly comparable GAAP financial measures. And with that, let me go into the 2014 results. I won’t go in great detail. I’ll assume everyone has seen the press release and the first quarter although an active quarter with the drill bit, was really fairly vanilla financially, so with no significant adjustments or non-recurring items. Accordingly, I will just focus on some selected items on the call. Our discretionary cash flow for the quarter was $138 million or about $2.75 per share and the earnings for the quarter were just under $26 million or $0.52 per share both above first call estimates. Our production for the quarter was just under 45,000 BOE per day or just under 270 million cubit feet a day equivalents, which at the upper end of guidance, this despite a couple of negative impacts to production.…

Okay, thank you Ken. We feel like the first quarter was an excellent value-adding period for the company and its investors. Our common stock prices performing well over the last few quarters and we achieved many important milestones for the future during the quarter. Our production and cash flow were comfortably toward the upper end of guidance even though we experienced some minor speed bumps relating to weather and pipeline issues in both the Gulf and Appalachia. Of course, our full year guidance is reaffirmed. We also achieved several important milestones that we believe indicates further value creation ahead. There have been two industry transforming technological breakthroughs in the last 30 years, deepwater exploration and production and technology and horizontal drilling with hydraulic fracturing. And Stone is well-positioned to take advantage of both of these technologies owning over 120 deepwater leases and 2 deepwater hubs in the Gulf along with an approximate 35,000 net acre position in the super-rich portion of the Marcellus shale in Appalachia. Both of these areas have material production and reserves already as well as significant and near-term development and exploration potential. The first quarter and in fact the whole first half has started the year on an excellent note for the company as we drilled four discoveries out of five wells in the Gulf area giving us a nice lift to discoveries to underpin the next couple of years of production and growth. First, in our deep gas area, we announced in the quarter of 100% owned Tomcat discovery at West Cameron 176. We have been able to reclaim one of our existing platforms to shorten the cycle time to first production and now expect to have Tomcat flowing to sales by June and maybe even this month with an estimated rate of 10 to…

(Operator Instructions) And your first question comes from the line of Michael Glick [Johnson Rice]. Your line is open.

Just a question on Cardona, how would you characterize the rock quality between Cardona, the TB-9 well and Cardona South?

Just qualitatively, it progresses from north to south in a better form. So, the Cardona well is a good well, TB-9 slightly better and the Cardona south well is quite a bit better rock quality. So, we expect to have a fairly high rate well out of the Cardona South prospect and very good wells out of Cardona in Cardona and the TB-9.

Okay. What are kind of the key variables associated with the timing of first production there?

Cardona?

Yes.

Well, the key variables are just execution of getting the flow lines installed and getting the umbilicals installed and connected. The key variables are once you get that done without any hitch and number two is just frankly the weather. We are going to be doing that this summer. And so depending upon how the weather cooperates or doesn’t, those are the main variables since we now have the wells drilled.

Okay. And then what will the timing be associated with the second or third well at Cardona South?

That’s really tied up and our plan to potentially pickup the deepwater rig. And so I think if we are able to capture a rig, the timing of the availability of the rig will probably drive the timing, but it couldn’t be sometime next year.

Got it, that’s it from me. Thank you very much.

Yes, hey, Mike, let me also add on the third, if there is a third well at Cardona South, that would certainly wait until after we have some production history from the first well at Cardona South, so whereas the second well actually would be going after the shallow zone that was identified. The third well would just hold off and get some production history before we bring on a third well. So, I want to make sure kind of they are somewhat independent that second well can move forward quite a bit quicker, because it is not so dependant upon production history, because they are going after different zones.

Okay, alright. Thank you.

And our next question comes from Jeb Bachmann with Howard Weil. Your line is open.

Good morning guys. Just had a few questions. Starting with Mica Deep, just wondering if you guys could give us the sand thickness in that well that you saw that was wet?

Well, we are actually still logging the well right now, Jeb. We have some MWD stuff, but it’s not completely reliable, but the sands were very thick and wet and we will be able to give you that info by our Analyst Day.

And Dave, do you think that possibly any kind of up-dip potential could be a sidetrack from this wellbore or at this point is it too early to know that?

It’s a little early to know it. We are gathering pressure data and all sorts of other information to help us determine if there is still a target of structure. We do have a lot of room up there from where this well is drilled. So, it’s possible that we want to see some pressure data to try to determine what it might be tied into on a regional sense before we would be willing to commit additional dollars to a sidetrack. And I think the well is going to be in all likelihood will probably abandon the well, but it’s likely to be left in a condition where we could reenter it in the future if we decided to sidetrack.

Okay. And then – and just looking at Pompano, the facility itself and I think you guys said you had some work to do there to upgrade the facilities. Just wondering when the last time Pompano was producing as much as you would expect to be brought online within the next call it 9 to 12 months?

Yes. It’s probably been a few years since it produced those volumes, but we have gone through cleaned out all the vessels on the facility already, did that in a safe and efficient manner. We have made the modifications to the platform that are just about complete for Cardona. So, we are not really worried about the platform being able to handle the platform is in good shape and should be able to handle it easily.

Okay. And last one from one, any update on firm transport out of Appalachia?

Yes, I will jump in. Really no update there, Jeb, I mean we continue to look at it as I think I have at least highlighted before you certainly have had some negative differential and yet in terms of access out of this area, besides the TETCO or Texas Eastern line that we flow into, you do have Dominion, Columbia, even the Transco line just to the east. So, you’ve got some major trunk lines coming through the area, all with at least some sort of expansion plans on the horizon, but for the moment we have got just the transportation into the TETCO line but no firm transportation out of the what we call the M2 interconnect, so that’s how we continue to look at though.

Okay. I had one more on Utica development plan does that include potentially a JV to help accelerate development of that shale or was that not on the table?

Yes, I think the options are wide open there. We got to look at everything to try to create as much value as we can.

Great thanks guys.

Thank you.

And your next question comes from Doug Dyer with Heartland Advisors. Your line is open.

Good morning, just a little bit more of a follow up from the last question on JVs with the discoveries that we have had so far this year, are we in a position where those can provide some future cash through JV or are we going to wait for some further discoveries this year before we get to that kind of discussion?

Yes. Doug again what we are currently looking at the various options and one of the things I guess we have noted before is it is nice to have the options. We will continue to try to evaluate one versus the other kind of JV and Appalachia versus a JV and the Gulf versus public markets private markets. I think as Dave alluded to you I mean we do have success which does call for incremental capital, but it’s nice to have some different options to look hard at. We also right now still have cash on the balance sheet and the undrawn facility. So we feel like we have got some not only options but are able to step back and not feel forced into one option versus the other.

Alright. Thank you very much.

And your next question comes from Adam Fackler with MLV & Company. Your line is open. Adam Fackler - MLV & Company: Good morning. I know you touched on it on your opening statements, but I was just hoping you might be able to provide some additional color around any predrilled expectations for that Utica well in terms of lateral lengths, fracs stages or well cost recoveries? Thank you.

Yes, I think we are planning on about a 3600 foot lateral, so it’s not a full length lateral, but it should give us all the information that we need. I don’t have any detail right now on what our frac design is going to be in terms of the stages or overall amount of proppant that we are going to be injecting per stage, but that should be the summer and hopefully we will be able to discuss that in more detail when we have our Analyst Meeting as well. Adam Fackler - MLV & Company: Alright. Thank you very much. That’s it for me.

Okay.

(Operator Instructions) Your next question comes from Richard Tullis with Capital One. Your line is open.

Hey, thanks. Good morning everyone. Dave if you could go over the net volumes expected for the Cardona wells and if you could talk a little bit about the timing of the ramp up there?

Yes. The ramp up, we will generally ramp those wells up over a couple of months period of time. But we think that between the two wells we will end up with about 10,000 barrels a day net to Stone and how that’s split out is not exactly known at this point, although we do believe that the Southern well is going to be a higher rate producer than the Northern well.

Okay. And how do you think that the 10,000 splits up between oil and gas?

Yes, that’s mostly oil, it’s almost I think that’s our oil rate, isn’t it, Ken?

That’s correct. No actually that should be pretty sure that we most of it is oil, but there might be some associated gas.

Okay, and just kind of ballparking it, Dave what do you think your dollar per margin or your margin per barrel is going to be on those Cardona wells using say current commodity prices?

Yeah, but well the margins should actually be a little bit higher than the price of oil because our incremental lease operating expense is expected to be around $2.5 million. And our incremental production handling fees that we will be capturing for processing our partners 35% will be around $4 million. So that difference will actually be a negative cost and so the margin will actually be a little bit higher than the price of oil maybe $1 or $2 a barrel.

Okay.

So there will be very good high margin production for us once we get it online.

And then if you were to go back and drill another well at Mica Deep, what would be the payment arrangement? Would you still have to promote there or you would have to pay your full share?

No, if we were to do a sidetrack or go back and later reenter the well and do a sidetrack, it would be kind of, if we did with our current partner, it would be 50-50.

Okay.

If Stone decided not to do it, then it will be whatever the market would bare.

Okay, well that’s all from me. Thank you.

Okay.

And there are no further questions in the queue at this time. I will turn the call back over to the presenters.

Okay. Let me just thank everyone for joining the call and remind you that you have a lot of good, exciting things coming up and please stay tuned for our future calls and hope to see you on our Analyst Day. Thank you everyone.

And this concludes today’s conference call. You may now disconnect.