8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

March 21, 2006
Date of report (Date of earliest event reported)

STONE ENERGY CORPORATION

(Exact Name of Registrant as Specified in Charter)

Delaware	1-12074	72-1235413
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)

625 E. Kaliste Saloom Road Lafayette, Louisiana	70508
(Address of Principal Executive Offices)	(Zip Code)

Registrant’s telephone number, including area code: (337) 237-0410

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e 4(c))

Section 7 — Regulation FD
Item 7.01. Regulation FD Disclosure.

     On March 21, 2006, David H. Welch, the company’s President and Chief Executive Officer, stated at an energy conference that the company anticipates the Securities and Exchange Commission may raise its informal inquiry into the company’s downward reserves revision to the level of a formal investigation. His statement was included in a Dow Jones news article which is furnished as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated by reference into this Item 7.01.

     In accordance with General Instruction B.2 of Form 8-K, the foregoing information, including Exhibit 99.1, shall not be deemed “filed” for the purposes of Section 18 of the Exchange Act or otherwise subject to the liabilities of that section, nor shall such information and Exhibit be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

Section 9 — Financial Statements and Exhibits
Item 9.01. Financial Statements and Exhibits.

     (d) Exhibits

99.1      Article dated March 21, 2006 from Dow Jones Newswires.

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SIGNATURE

     Pursuant to the requirements of the Securities Exchange Act of 1934, Stone Energy Corporation has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	STONE ENERGY CORPORATION
Date: March 23, 2006	By:	/s/ J. Kent Pierret
		J. Kent Pierret
		Senior Vice President, Chief Accounting Officer and Treasurer

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EXHIBIT INDEX

Exhibit Number	Description
99.1	Article dated March 21, 2006 from Dow Jones Newswires.

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EX-99.1

Exhibit 99.1

NEW ORLEANS (Dow Jones)—Stone Energy Corp. (SGY) expects the Securities and Exchange Commission to raise its informal inquiry into the company’s oil and gas reserves downgrade to the level of a formal investigation, the company’s top officer said Tuesday.

     “It’s likely there’ll be a full inquiry at some point to try to let the SEC get to some of the third parties,” Stone Chief Executive David Welch told investors at the Howard Weil energy conference.

     Stone disclosed last fall that the SEC initiated an informal inquiry after the company slashed its reserves by more than 25%. Stone’s reserves woes follow similar downgrades from several other companies into the accounting of a closely-monitored oil and gas benchmark. The raising of the inquiry to a formal investigation, a move that typically requires a vote by the full commission, allows agency staff to issue subpoenas.

     Stone has been cooperating with the SEC, Welch said. In December, Stone released an independent report from a law firm that concluded that Stone had an “optimistic and aggressive ‘tone from the top’” with respect to booking reserves, and that the company inadequately trained staff in SEC reserves-booking methodology.

     In the wake of the report, Stone’s former CEO resigned from the board of directors and the company secured resignations of at least two other company officials.

     -By John Biers, Dow Jones Newswires; 713-582-5070; john.biers@dowjones.com

(END) Dow Jones Newswires
03-21-06 1754ET
Copyright (c) 2006 Dow Jones & Company, Inc. — 05 54 PM EST 03-21-06