Techniques for fracturing a subterranean formation penetrated by a wellbore are provided. The subterranean formation has vertical and horizontal stresses applied thereto. The wellbore has a near wellbore stress zone thereabout. The method involves drilling the wellbore along a drilling path (the wellbore having a vertical portion and a horizontal portion), creating at least one 360-degree perforation in the subterranean formation about the horizontal portions of the wellbore, and fracturing the formation by injecting a fluid into the 360-degree perforations. The 360-degree perforations extend about the wellbore a distance beyond the near wellbore stress zone and at least twice a diameter of the wellbore starting from an axis of the wellbore. A direction of the 360-degree perforation is transverse to the wellbore axis.