8-K
false 0000006769 0000006769 2020-02-26 2020-02-26 0000006769 exch:XNYS us-gaap:CommonStockMember 2020-02-26 2020-02-26 0000006769 exch:XCHI us-gaap:CommonStockMember 2020-02-26 2020-02-26 0000006769 exch:XNGS us-gaap:CommonStockMember 2020-02-26 2020-02-26 0000006769 apa:A7.75NotesDue2029Member 2020-02-26 2020-02-26

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): February 26, 2020

 

APACHE CORPORATION

(Exact name of registrant as specified in its charter)

 

Delaware

 

1-4300

 

41-0747868

(State or other jurisdiction

of incorporation)

 

(Commission

File Number)

 

(IRS Employer

Identification No.)

2000 Post Oak Boulevard

Suite 100

Houston, Texas 77056-4400

(Address of principal executive offices) (Zip Code)

Registrant’s telephone number, including area code: (713) 296-6000

 

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:

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

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

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

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

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange

on which registered

Common Stock, $0.625 par value

 

APA

 

New York Stock Exchange, Chicago Stock Exchange and NASDAQ Global Select Market

7.75% Notes Due 2029

 

APA/29

 

New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company  

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  

 

 


The information in this Current Report on Form 8-K, including Exhibit 99.1 furnished herewith, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Exchange Act or otherwise subject to the liabilities of Section 18, and shall not be incorporated by reference in any filing under the Securities Act or the Exchange Act, except as set forth by specific reference in such filing.

Item 2.02. Results of Operations and Financial Condition.

On February 26, 2020, Apache Corporation issued a press release announcing financial and operating results for the fiscal quarter and year ended December 31, 2019. The full text of the press release is furnished herewith as Exhibit 99.1 and incorporated herein by reference.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

Exhibit
No.

   

Description

         
 

99.1

   

Press Release of Apache Corporation dated February 26, 2020.

         
 

104

   

Cover Page Interactive Data File (embedded within the Inline XBRL document).


SIGNATURES

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

 

 

APACHE CORPORATION

             

Date: February 27, 2020

 

 

By:

 

/s/ Rebecca A. Hoyt

 

 

 

Rebecca A. Hoyt

 

 

 

Senior Vice President, Chief Accounting Officer, and Controller

 

 

 

(Principal Accounting Officer)

EX-99.1

Exhibit 99.1

 

LOGO       NEWS RELEASE

Apache Corporation Announces Fourth-Quarter and Full-Year 2019

Financial and Operational Results

Highlights

 

   

Delivered fourth-quarter reported production of 487,000 barrels of oil equivalent (BOE) per day; adjusted production, which excludes Egypt noncontrolling interest and tax barrels, was 430,000 BOE per day, exceeding the high end of guidance by 5,000 BOE per day;

 

   

Achieved the highest quarterly Permian oil production rate in Apache history, averaging 103,000 barrels per day during the fourth quarter;

 

   

Reduced capital investment in 2019 by 23% over 2018, while increasing total company adjusted production by nearly 5%, U.S. production by more than 7%, and Permian oil production by 6% year over year;

 

   

Reported full-year net cash from operating activities of $2.9 billion and adjusted EBITDAX of $4.0 billion;

 

   

Generated full-year cash return on invested capital on-target with the corporate incentive compensation goal of 19%;

 

   

Signed a 50-50 joint venture agreement with Total S.A. for Block 58 offshore Suriname that significantly reduces Apache’s potential large-scale appraisal and development capital requirements;

 

   

Drilled the Maka Central-1 well in Block 58 Suriname and announced a significant oil discovery in January 2020; currently drilling an exploration well at Sapakara West;

 

   

Launched a comprehensive corporate redesign to further align the organization, work processes and cost structure with long-term planned activity levels, targeting a minimum annual savings of $150 million;

 

   

Advanced sustainability efforts by initiating alignment with SASB and TCFD reporting standards, beginning to link ESG performance to short-term incentive compensation, and earmarking capital specifically for sustainability projects; and

 

   

Establishing 2020 upstream capital investment budget of $1.6 billion to $1.9 billion, a 26% year-over-year decrease at the midpoint; projecting flat to low single digit corporate oil growth on an adjusted basis.

HOUSTON, Feb. 26, 2020 – Apache Corporation (NYSE, Nasdaq: APA) today announced its financial and operational results for the fourth-quarter and full-year 2019.

Apache reported a loss of $3.0 billion or $7.89 per diluted common share during the fourth-quarter 2019. When adjusted for certain items that impact the comparability of results, including primarily the impact of asset impairments in both the upstream assets in Alpine High and gathering, processing, and transmission assets from the consolidated results of Altus Midstream, Apache’s fourth-quarter income totaled $31 million, or $0.08 per share. Net cash provided by operating activities in the fourth quarter was $778 million, and adjusted EBITDAX was $1.1 billion.

 

LOGO


APACHE CORPORATION ANNOUNCES FOURTH-QUARTER AND FULL-YEAR 2019

FINANCIAL AND OPERATIONAL RESULTS

— PAGE 2 of 8

 

For the full-year 2019, Apache reported a loss of $3.6 billion, or $9.43 per diluted common share. On an adjusted basis, Apache’s 2019 earnings totaled $2 million. Net cash provided by operating activities was $2.9 billion, and adjusted EBITDAX was $4.0 billion.

“Apache finished 2019 on a strong note. For the year, we achieved our corporate returns objective and came in below our upstream capital investment target of $2.4 billion. During the fourth quarter, our Permian region delivered the highest oil production in company history at 103,000 barrels per day and exceeded guidance. In December, we signed a joint venture agreement with Total in Block 58 offshore Suriname, which brings in a world-class offshore operator and enables Apache to retain a 50% working interest in the block while significantly reducing our potential exposure to large-scale appraisal and development costs. Our subsequent announcement of a significant oil discovery with the Maka Central-1 well in January 2020 underscores the transformational potential of Suriname Block 58. We are currently drilling the second well on Block 58, Sapakara West-1, and are encouraged by what we’ve seen so far. We will provide more information after reaching total depth and completing our analysis,” said John J. Christmann IV, Apache’s chief executive officer and president.

Christmann continued, “Despite steady progress on many fronts in 2019, we also encountered some significant challenges, most notably around deteriorating natural gas and NGL prices and the performance of our multi-well development pad tests at Alpine High. To further align our investment program with these dynamics, we plan to significantly reduce our spending in 2020, predominantly in Alpine High.

“Apache is well-prepared to navigate this challenging and volatile commodity price environment. We are continuing to streamline our portfolio, completing our comprehensive corporate redesign to centralize and align the organization and costs with projected long-term activity levels, investing to improve long-term returns and free cash flow, strengthening our balance sheet, and sustaining our dividend.


APACHE CORPORATION ANNOUNCES FOURTH-QUARTER AND FULL-YEAR 2019

FINANCIAL AND OPERATIONAL RESULTS

— PAGE 3 of 8

 

“While these steps are important to generate long-term returns, we must continue to deliver energy in a responsible manner and are taking a number of steps to prioritize ESG initiatives.”

Specifically, over the last year, the company started to link ESG performance to short-term incentive compensation, earmarked 2020 capital specifically for sustainability projects, and began to align its 2019 sustainability report with the Task Force on Climate-related Financial Disclosures’ (TCFD) recommendations and the Sustainability Accounting Standards Board’s (SASB) Oil and Gas Exploration and Production Sustainability Accounting Standard.

2020 capital budget and outlook

In 2020, the company plans to invest $1.6 billion to $1.9 billion in upstream oil and gas capital, which, at the midpoint, represents a 26% reduction from 2019. If oil prices deteriorate from current levels, Apache is prepared to further reduce activity and capital investment. At higher oil prices, the priority will be to retain cash for debt reduction. The company does not anticipate increasing capital investment above $1.9 billion. This 2020 capital budget is projected to deliver flat to low single-digit total company oil production growth on an adjusted basis.

“Apache’s portfolio is differentiated through both geographic diversification and an attractive balance of conventional and unconventional development opportunities. We have optionality to fund high-quality, shorter-cycle growth projects in the Permian Basin, Egypt and the North Sea, as well as longer-cycle organic exploration plays. We are choosing to allocate capital to Suriname over the next several years that could otherwise be directed toward near-term growth opportunities elsewhere in the portfolio. This is consistent with our strategy of investing for long-term returns with growth as an outcome,” Christmann concluded.


APACHE CORPORATION ANNOUNCES FOURTH-QUARTER AND FULL-YEAR 2019

FINANCIAL AND OPERATIONAL RESULTS

— PAGE 4 of 8

 

Fourth-quarter operational summary

During the fourth quarter, Apache operated an average of 21 rigs and drilled and completed 74 gross-operated wells worldwide. Highlights from Apache’s principal areas include:

 

   

United States – Operated an average of eight rigs, drilled and completed 56 gross-operated wells, all of which were in the Permian, and reported production of 299,000 BOE per day, an increase of 5% over fourth-quarter 2018.

Permian Basin production averaged 288,000 BOE per day, including oil production of 103,000 barrels of oil per day.

 

   

Midland Basin – Averaged four rigs and placed 19 wells on production, all on multi-well pads. The 16-well Lynch-Tippett pad at Wildfire delivered strong initial production rates with an 83% oil cut on 1.5-mile laterals.

 

   

Delaware Basin – Averaged four rigs and placed 36 wells on production, including the 6-well Ghost Rider pad in Lea County, which produced impressive initial flow rates. At year-end, there were no rigs drilling at Alpine High.

 

   

International – Operated an average of 13 rigs, drilled and completed 18 gross-operated wells and reported production of 189,000 BOE per day.

 

   

Egypt – Averaged nine rigs, drilled and completed 16 gross-operated wells and reported production of 126,000 BOE per day, or 69,000 BOE per day on an adjusted basis. The company drilled several high-rate oil wells in the Faghur and Shushan basins and had an 81% success rate during the quarter.

 

   

North Sea – Averaged three rigs and drilled and completed two gross operated wells during the quarter with a 100% success rate. Production was 63,000 BOE per day with the startup of the Storr development in late November and return from scheduled turnaround activity in the third quarter.

 

   

Suriname Drilled the first well in Block 58, the Maka Central-1, during the back half of 2019, and subsequently announced a significant oil discovery in January. The company is now working with its partner Total on an appraisal plan, which will be submitted to the state-owned oil company, Staatsolie, in the coming months.


APACHE CORPORATION ANNOUNCES FOURTH-QUARTER AND FULL-YEAR 2019

FINANCIAL AND OPERATIONAL RESULTS

— PAGE 5 of 8

 

Drilling commenced in January and is ongoing on the Sapakara West-1 exploration well in Suriname Block 58, approximately 12 miles southeast of the Maka Central-1 discovery. The company has drilled through the shallower Campanian interval and drilling continues toward the deeper Santonian objectives. Once the well reaches total depth, the company will run open-hole logs, pressure tests, fluid and core samples, and associated laboratory analyses. Following Sapakara, the rig will drill a third, and likely a fourth exploration test in Block 58.

Year-end 2019 proved reserves

Worldwide estimated proved reserves totaled 1.01 billion BOE at year-end 2019. During the year, Apache added approximately 176.4 million BOE in field extensions and discoveries, more than offsetting production of approximately 172.9 million BOE. Divestitures reduced proved reserves by 107.6 million BOE. Negative price revisions, partially offset by positive performance revisions, further reduced proved reserves by 119.5 million BOE. More than 88% of Apache’s estimated proved reserves at year-end 2019 were classified as proved developed.

Conference call

Apache will host a conference call to discuss its fourth-quarter and full-year 2019 results at 10 a.m. Central time, Thursday, Feb. 27. The conference call will be webcast from Apache’s website at www.apachecorp.com and investor.apachecorp.com, and the webcast replay will be archived there as well. The conference call will also be available for playback by telephone for one week beginning at approximately 4 p.m. Central time Feb. 28. The number for the replay is 855-859-2056 or 404-537-3406 for international calls. The conference access code is 7162078. Sign up for email alerts to be reminded of the webcast at http://investor.apachecorp.com/alerts/email-alerts-subscription.


APACHE CORPORATION ANNOUNCES FOURTH-QUARTER AND FULL-YEAR 2019

FINANCIAL AND OPERATIONAL RESULTS

— PAGE 6 of 8

 

About Apache

Apache Corporation is an oil and gas exploration and production company with operations in the United States, Egypt and the United Kingdom and exploration activities offshore Suriname. Apache posts announcements, operational updates, investor information and all press releases on its website, www.apachecorp.com.

Additional information

Additional information follows, including reconciliations of adjusted earnings, adjusted EBITDAX and net debt (non-GAAP financial measures) to GAAP measures and information regarding adjusted production. Apache’s quarterly supplement is available at www.apachecorp.com/financialdata.

Non-GAAP financial measures

Apache’s financial information includes information prepared in conformity with generally accepted accounting principles (GAAP) as well as non-GAAP financial information. It is management’s intent to provide non-GAAP financial information to enhance understanding of our consolidated financial information as prepared in accordance with GAAP. Adjusted earnings, adjusted EBITDAX and net debt are non-GAAP measures. This non-GAAP information should be considered by the reader in addition to, but not instead of, the financial statements prepared in accordance with GAAP. Each non-GAAP financial measure is presented along with the corresponding GAAP measure so as not to imply that more emphasis should be placed on the non-GAAP measure.

Forward-looking statements

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements can be identified by words such as “anticipates,” “intends,” “plans,” “seeks,” “believes,” “continues,” “could,” “estimates,”


APACHE CORPORATION ANNOUNCES FOURTH-QUARTER AND FULL-YEAR 2019

FINANCIAL AND OPERATIONAL RESULTS

— PAGE 7 of 8

 

“expects,” “guidance,” “may,” “might,” “outlook,” “possibly,” “potential,” “projects,” “should,” “will,” “would,” and similar references to future periods, but the absence of these words does not mean that a statement is not forward-looking. These statements include, but are not limited to, statements about future plans, expectations and objectives for Apache’s operations, including statements about our capital plans, drilling plans, production expectations, asset sales, and monetizations. While forward-looking statements are based on assumptions and analyses made by us that we believe to be reasonable under the circumstances, whether actual results and developments will meet our expectations and predictions depend on a number of risks and uncertainties which could cause our actual results, performance, and financial condition to differ materially from our expectations. See “Risk Factors” in our 2018 Form 10-K and in our quarterly reports on Form 10-Q filed, and 2019 Form 10-K when filed, with the Securities and Exchange Commission (“SEC”) for a discussion of risk factors that affect our business. Any forward-looking statement made by Apache in this news release speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. Apache undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future development or otherwise, except as may be required by law.

Cautionary note to investors

The United States Securities and Exchange Commission permits oil and gas companies, in their filings with the SEC, to disclose only proved, probable, and possible reserves that meet the SEC’s definitions for such terms. Apache may use certain terms in this news release, such as “resources,” “potential resources,” “resource potential,” “estimated net reserves,” “recoverable reserves,” and other similar terms that the SEC guidelines strictly prohibit Apache from including in filings with the SEC. Such terms do not take into account the certainty of resource recovery, which is contingent on exploration success, technical improvements in drilling access, commerciality and other factors, and are therefore not indicative of expected future resource recovery and should not be relied upon. Investors are urged to consider carefully the disclosure in Apache’s Annual Report on Form 10-K for the fiscal year ended Dec. 31, 2018 (and Apache’s Annual Report on Form 10-K for the fiscal year ended Dec. 31, 2019, when filed) available from Apache at www.apachecorp.com or by writing Apache at: 2000 Post Oak Blvd., Suite 100, Houston, TX 77056 (Attn: Corporate Secretary). You can also obtain this report from the SEC by calling 1-800-SEC-0330 or from the SEC’s website at www.sec.gov.


APACHE CORPORATION ANNOUNCES FOURTH-QUARTER AND FULL-YEAR 2019

FINANCIAL AND OPERATIONAL RESULTS

— PAGE 8 of 8

 

Contacts

Investor: (281) 302-2286 Gary Clark

Media: (713) 296-7276 Phil West

Website: www.apachecorp.com

APA-F

-end-


APACHE CORPORATION

STATEMENT OF CONSOLIDATED OPERATIONS

(Unaudited)

(In millions, except per share data)

 

     For the Quarter Ended
December 31,
    For the Year Ended
December 31,
 
     2019     2018     2019     2018  

REVENUES AND OTHER:

        

Oil and gas production revenues

        

Oil revenues

   $ 1,316     $ 1,322     $ 5,230     $ 5,846  

Natural gas revenues

     188       244       678       919  

Natural gas liquids revenues

     121       137       407       583  
  

 

 

   

 

 

   

 

 

   

 

 

 
     1,625       1,703       6,315       7,348  

Gain on divestitures

     23       13       43       23  

Other

     48       49       53       53  
  

 

 

   

 

 

   

 

 

   

 

 

 
     1,696       1,765       6,411       7,424  
  

 

 

   

 

 

   

 

 

   

 

 

 

OPERATING EXPENSES:

        

Lease operating expenses

     343       352       1,447       1,439  

Gathering, processing and transmission

     76       88       306       348  

Taxes other than income

     66       53       207       215  

Exploration

     585       252       805       503  

General and administrative

     83       101       406       431  

Transaction, reorganization and separation

     33       8       50       28  

Depreciation, depletion and amortization:

        

Oil and gas property and equipment

     676       599       2,512       2,265  

Other assets

     45       35       168       140  

Asset retirement obligation accretion

     27       27       107       108  

Impairments

     2,700       501       2,949       511  

Financing costs, net

     97       93       462       478  
  

 

 

   

 

 

   

 

 

   

 

 

 
     4,731       2,109       9,419       6,466  
  

 

 

   

 

 

   

 

 

   

 

 

 

NET INCOME BEFORE INCOME TAXES

     (3,035     (344     (3,008     958  

Current income tax provision

     146       185       660       894  

Deferred income tax provision (benefit)

     66       (179     14       (222
  

 

 

   

 

 

   

 

 

   

 

 

 

NET INCOME (LOSS) INCLUDING NONCONTROLLING INTEREST

     (3,247     (350     (3,682     286  

Net income attributable to noncontrolling interest - Egypt

     42       30       167       245  

Net loss attributable to noncontrolling interest - Altus

     (329     1       (334     1  

Net income attributable to Altus Preferred Unit limited partners

     16       —         38       —    
  

 

 

   

 

 

   

 

 

   

 

 

 

NET INCOME (LOSS) ATTRIBUTABLE TO COMMON STOCK

   $ (2,976   $ (381   $ (3,553   $ 40  
  

 

 

   

 

 

   

 

 

   

 

 

 

NET INCOME (LOSS) PER COMMON SHARE:

        

Basic

   $ (7.89   $ (1.00   $ (9.43   $ 0.11  

Diluted

   $ (7.89   $ (1.00   $ (9.43   $ 0.11  

WEIGHTED-AVERAGE NUMBER OF COMMON SHARES OUTSTANDING:

        

Basic

     377       379       377       382  

Diluted

     377       379       377       384  

DIVIDENDS DECLARED PER COMMON SHARE

   $ 0.25     $ 0.25     $ 1.00     $ 1.00  

 

Page 1


APACHE CORPORATION

PRODUCTION INFORMATION

 

     For the Quarter Ended      % Change     For the Year Ended  
     December 31,
2019
     September 30,
2019
     December 31,
2018
     4Q19 to
3Q19
    4Q19 to
4Q18
    December 31,
2019
     December 31,
2018
 

OIL VOLUME - Barrels per day

                  

Permian

     103,275        94,873        98,560        9     5     96,997        91,132  

MidContinent/Gulf Coast

     2,500        2,635        9,697        -5     -74     5,328        10,434  

Gulf of Mexico

     2,655        2,537        2,391        5     11     2,726        3,234  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

United States

     108,430        100,045        110,648        8     -2     105,051        104,800  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Egypt (1, 2)

     79,119        84,114        86,103        -6     -8     84,617        93,656  

North Sea

     50,226        44,281        52,519        13     -4     49,746        46,953  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

International (1)

     129,345        128,395        138,622        1     -7     134,363        140,609  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Total (1)

     237,775        228,440        249,270        4     -5     239,414        245,409  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

NATURAL GAS VOLUME - Mcf per day

                  

Permian

     635,159        539,132        553,945        18     15     571,141        458,564  

MidContinent/Gulf Coast

     12,001        14,779        120,720        -19     -90     57,996        125,488  

Gulf of Mexico

     11,235        9,251        7,477        21     50     10,443        9,202  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

United States

     658,395        563,162        682,142        17     -3     639,580        593,254  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Egypt (1, 2)

     275,811        275,569        291,196        0     -5     285,972        326,811  

North Sea

     63,681        47,875        55,955        33     14     54,642        45,466  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

International (1)

     339,492        323,444        347,151        5     -2     340,614        372,277  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Total (1)

     997,887        886,606        1,029,293        13     -3     980,194        965,531  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

NGL VOLUME - Barrels per day

                  

Permian

     78,908        69,703        45,053        13     75     62,106        43,368  

MidContinent/Gulf Coast

     1,211        1,959        13,676        -38     -91     6,017        13,780  

Gulf of Mexico

     286        343        397        -17     -28     258        303  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

United States

     80,405        72,005        59,126        12     36     68,381        57,451  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Egypt (1, 2)

     788        891        877        -12     -10     931        923  

North Sea

     1,920        1,540        1,476        25     30     1,739        1,189  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

International (1)

     2,708        2,431        2,353        11     15     2,670        2,112  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Total

     83,113        74,436        61,479        12     35     71,051        59,563  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

BOE per day

                  

Permian

     288,043        254,432        235,936        13     22     254,293        210,926  

MidContinent/Gulf Coast

     5,711        7,057        43,493        -19     -87     21,011        45,129  

Gulf of Mexico

     4,813        4,421        4,035        9     19     4,725        5,071  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

United States

     298,567        265,910        283,464        12     5     280,029        261,126  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Egypt (1, 2)

     125,875        130,934        135,513        -4     -7     133,209        149,048  

North Sea

     62,760        53,800        63,321        17     -1     60,592        55,719  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

International (1)

     188,635        184,734        198,834        2     -5     193,801        204,767  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Total (1)

     487,202        450,644        482,298        8     1     473,830        465,893  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Total excluding noncontrolling interests

     445,209        406,926        437,030        9     2     429,377        416,150  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 
(1)  Includes net production volumes attributed to our noncontrolling partner in Egypt below:         

Oil (b/d)

     26,384        28,052        28,756            28,220        31,240  

Gas (Mcf/d)

     92,075        92,212        97,317            95,539        109,169  

NGL (b/d)

     263        297        292            310        308  

(2)  Egypt Gross Production - BOE per day

     300,136        301,296        334,992        0     -10     313,722        336,125  

 

Page 2


APACHE CORPORATION

ADJUSTED PRODUCTION INFORMATION

Adjusted production excludes certain items that management believes affect the comparability of operating results for the periods presented. Adjusted production excludes production attributable to 1) noncontrolling interest in Egypt and 2) Egypt tax barrels. Management uses adjusted production to evaluate the company’s operational trends and performance and believes it is useful to investors and other third parties.

 

     For the Quarter Ended      % Change     For the Year Ended  
     December 31,
2019
     September 30,
2019
     December 31,
2018
     4Q19 to
3Q19
    4Q19 to
4Q18
    December 31,
2019
     December 31,
2018
 

OIL VOLUME - Barrels per day

                  

Permian

     103,275        94,873        98,560        9     5     96,997        91,132  

MidContinent/Gulf Coast

     2,500        2,635        9,697        -5     -74     5,328        10,434  

Gulf of Mexico

     2,655        2,537        2,391        5     11     2,726        3,234  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

United States

     108,430        100,045        110,648        8     -2     105,051        104,800  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Egypt

     42,120        44,461        46,077        -5     -9     44,773        47,286  

North Sea

     50,226        44,281        52,519        13     -4     49,746        46,953  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

International

     92,346        88,742        98,596        4     -6     94,519        94,239  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Total

     200,776        188,787        209,244        6     -4     199,570        199,039  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

NATURAL GAS VOLUME - Mcf per day

                  

Permian

     635,159        539,132        553,945        18     15     571,141        458,564  

MidContinent/Gulf Coast

     12,001        14,779        120,720        -19     -90     57,996        125,488  

Gulf of Mexico

     11,235        9,251        7,477        21     50     10,443        9,202  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

United States

     658,395        563,162        682,142        17     -3     639,580        593,254  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Egypt

     159,242        160,263        166,109        -1     -4     165,159        180,841  

North Sea

     63,681        47,875        55,955        33     14     54,642        45,466  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

International

     222,923        208,138        222,064        7     0     219,801        226,307  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Total

     881,318        771,300        904,206        14     -3     859,381        819,561  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

NGL VOLUME - Barrels per day

                  

Permian

     78,908        69,703        45,053        13     75     62,106        43,368  

MidContinent/Gulf Coast

     1,211        1,959        13,676        -38     -91     6,017        13,780  

Gulf of Mexico

     286        343        397        -17     -28     258        303  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

United States

     80,405        72,005        59,126        12     36     68,381        57,451  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Egypt

     474        518        527        -8     -10     550        505  

North Sea

     1,920        1,540        1,476        25     30     1,739        1,189  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

International

     2,394        2,058        2,003        16     20     2,289        1,694  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Total

     82,799        74,063        61,129        12     35     70,670        59,145  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

BOE per day

                  

Permian

     288,043        254,432        235,936        13     22     254,293        210,926  

MidContinent/Gulf Coast

     5,711        7,057        43,493        -19     -87     21,011        45,129  

Gulf of Mexico

     4,813        4,421        4,035        9     19     4,725        5,071  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

United States

     298,567        265,910        283,464        12     5     280,029        261,126  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Egypt

     69,134        71,690        74,289        -4     -7     72,850        77,932  

North Sea

     62,760        53,800        63,321        17     -1     60,592        55,719  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

International

     131,894        125,490        137,610        5     -4     133,442        133,651  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

Total

     430,461        391,400        421,074        10     2     413,471        394,777  
  

 

 

    

 

 

    

 

 

        

 

 

    

 

 

 

 

Page 3


APACHE CORPORATION

PRICE INFORMATION

 

     For the Quarter Ended      For the Year Ended  
     December 31,
2019
     September 30,
2019
     December 31,
2018
     December 31,
2019
     December 31,
2018
 

AVERAGE OIL PRICE PER BARREL

              

Permian

   $ 56.25      $ 54.51      $ 50.98      $ 54.47      $ 58.57  

MidContinent/Gulf Coast

     56.97        58.38        58.73        56.77        64.17  

Gulf of Mexico

     56.47        58.38        61.48        59.44        67.75  

United States

     56.26        54.70        51.85        54.71        59.36  

Egypt

     63.11        61.10        64.27        63.76        70.09  

North Sea

     64.07        63.12        62.68        65.10        69.02  

International

     63.48        61.75        63.69        64.25        69.73  

Total

     60.19        58.60        58.37        60.05        65.30  

AVERAGE NATURAL GAS PRICE PER MCF

              

Permian

   $ 1.47      $ .91      $ 1.71      $ 1.11      $ 1.95  

MidContinent/Gulf Coast

     2.30        2.03        3.32        2.47        2.65  

Gulf of Mexico

     2.43        2.39        3.70        2.76        3.27  

United States

     1.50        0.97        2.03        1.26        2.12  

Egypt

     2.86        2.81        2.83        2.83        2.84  

North Sea

     4.30        3.20        7.91        4.48        7.33  

International

     3.13        2.87        3.65        3.09        3.39  

Total

     2.05        1.66        2.57        1.90        2.61  

AVERAGE NGL PRICE PER BARREL

              

Permian

   $ 14.93      $ 13.24      $ 24.29      $ 14.82      $ 27.20  

MidContinent/Gulf Coast

     16.60        14.35        22.17        16.05        23.32  

Gulf of Mexico

     21.39        16.11        24.47        19.16        29.82  

United States

     15.00        13.26        23.81        14.95        26.28  

Egypt

     36.47        27.76        34.43        33.87        39.17  

North Sea

     44.22        26.63        42.94        36.83        45.84  

International

     41.97        27.05        39.77        35.80        42.93  

Total

     15.88        13.71        24.42        15.74        26.87  

 

Page 4


APACHE CORPORATION

SUPPLEMENTAL FINANCIAL INFORMATION

(Unaudited)

(In millions)

SUMMARY EXPLORATION EXPENSE INFORMATION

 

     For the Quarter Ended      For the Year Ended  
     December 31,      December 31,  
     2019      2018      2019      2018  

Unproved leasehold impairments

   $ 545      $ 138      $ 619      $ 214  

Dry hole expense

     24        80        57        137  

Geological and geophysical expense

     5        14        59        55  

Exploration overhead and other

     11        20        70        97  
  

 

 

    

 

 

    

 

 

    

 

 

 
   $ 585      $ 252      $ 805      $ 503  
  

 

 

    

 

 

    

 

 

    

 

 

 

SUMMARY CASH FLOW INFORMATION

 

     For the Quarter Ended      For the Year Ended  
     December 31,      December 31,  
     2019      2018      2019      2018  

Net cash provided by operating activities

   $ 778      $ 1,043      $ 2,867      $ 3,777  
  

 

 

    

 

 

    

 

 

    

 

 

 

Additions to upstream oil and gas property

     (580      (899      (2,634      (3,323

Additions to Altus gathering, processing, and transmission facilities

     (33      (169      (327      (581

Altus equity method interests

     (164      (91      (1,172      (91

Proceeds from sale of oil and gas properties

     128        87        718        138  

Other, net

     (14      (32      (31      (87
  

 

 

    

 

 

    

 

 

    

 

 

 

Net cash used in investing activities

   $ (663    $ (1,104    $ (3,446    $ (3,944
  

 

 

    

 

 

    

 

 

    

 

 

 

Debt borrowings and payments, net

     161        —          235        (378

Proceeds from Altus transaction

     —          628        —          628  

Distributions to noncontrolling interest - Egypt

     (70      (89      (305      (345

Redeemable noncontrolling interest - Altus Preferred Unit limited partners

     —          —          611        —    

Dividends paid

     (94      (95      (376      (382

Other

     (28      (262      (53      (310
  

 

 

    

 

 

    

 

 

    

 

 

 

Net cash used in financing activities

   $ (31    $ 182      $ 112      $ (787
  

 

 

    

 

 

    

 

 

    

 

 

 

SUMMARY BALANCE SHEET INFORMATION

 

     December 31,
2019
     December 31,
2018
 

Cash and cash equivalents

   $ 247      $ 714  

Other current assets

     1,714        1,973  

Property and equipment, net

     14,158        18,421  

Other assets

     1,988        474  
  

 

 

    

 

 

 

Total assets

   $ 18,107      $ 21,582  
  

 

 

    

 

 

 

Current debt - Apache *

   $ 1      $ 151  

Current debt - Altus

     10        —    

Current liabilities

     1,844        2,050  

Long-term debt - Apache *

     8,159        8,093  

Long-term debt - Altus

     396        —    

Deferred credits and other noncurrent liabilities

     2,677        2,476  

Redeemable noncontrolling interest - Altus Preferred Unit limited partners

     555        —    

Apache shareholders’ equity

     3,255        7,130  

Noncontrolling interest - Egypt

     1,137        1,275  

Noncontrolling interest - Altus

     73        407  
  

 

 

    

 

 

 

Total Liabilities, redeemable noncontrolling interest, and equity

   $ 18,107      $ 21,582  
  

 

 

    

 

 

 

Common shares outstanding at end of period

     377        375  

 

*

Excludes Altus

 

Page 5


APACHE CORPORATION

NON-GAAP FINANCIAL MEASURES

(In millions, except per share data)

Reconciliation of Net cash provided by operating activities to Adjusted EBITDAX

Management believes EBITDAX, or earnings before income tax expense, interest expense, depreciation, amortization and exploration expense is a widely accepted financial indicator, and useful for investors, to assess a company’s ability to incur and service debt, fund capital expenditures, and make distributions to shareholders. We define adjusted EBITDAX, a non-GAAP financial measure, as EBITDAX adjusted for certain items presented in the accompanying reconciliation. Management uses adjusted EBITDAX to evaluate our ability to fund our capital expenditures, debt services and other operational requirements and to compare our results from period to period by eliminating the impact of certain items that management does not consider to be representative of the Company’s on-going operations. Management also believes adjusted EBITDAX facilitates investors and analysts in evaluating and comparing EBITDAX from period to period by eliminating differences caused by the existence and timing of certain operating expenses that would not otherwise be apparent on a GAAP basis. However, our presentation of adjusted EBITDAX may not be comparable to similar measures of other companies in our industry.

 

     For the Quarter Ended     For the Year Ended  
     December 31,     September 30,     December 31,     December 31,  
     2019     2019     2018     2019     2018  

Net cash provided by operating activities

   $ 778     $ 635     $ 1,043     $ 2,867     $ 3,777  

Adjustments:

          

Exploration seismic and administration costs

     16       39       34       129       152  

Current income tax provision

     146       141       185       660       894  

Other adjustments to reconcile net income to net cash provided by operating activities

     (19     (13     (29     (50     (125

Changes in operating assets and liabilities

     42       1       (191     3       (245

Financing costs, net (excluding loss on early extinguishment of debt)

     97       95       93       387       384  

Transaction, reorganization & separation costs

     33       7       8       50       28  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDAX (Non-GAAP)

   $ 1,093     $ 905     $ 1,143     $ 4,046     $ 4,865  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Reconciliation of Income attributable to common stock to Adjusted earnings

Our presentation of adjusted earnings and adjusted earnings per share are non-GAAP measures because they exclude the effect of certain items included in Income Attributable to Common Stock. Management believes that adjusted earnings and adjusted earnings per share provides relevant and useful information, which is widely used by analysts, investors and competitors in our industry as well as by our management in assessing the Company’s operational trends and comparability of results to our peers.

Management uses adjusted earnings and adjusted earnings per share to evaluate our operating and financial performance because it eliminates the impact of certain items that management does not consider to be representative of the Company’s on-going business operations. As a performance measure, adjusted earnings may be useful to investors in facilitating comparisons to others in the Company’s industry because certain items can vary substantially in the oil and gas industry from company to company depending upon accounting methods, book value of assets, capital structure and asset sales and other divestitures, among other factors. Management believes excluding these items facilitates investors and analysts in evaluating and comparing the underlying operating and financial performance of our business from period to period by eliminating differences caused by the existence and timing of certain expense and income items that would not otherwise be apparent on a GAAP basis. However, our presentation of adjusted earnings and adjusted earnings per share may not be comparable to similar measures of other companies in our industry.

 

     For the Quarter Ended     For the Quarter Ended  
     December 31, 2019     December 31, 2018  
     Before     Tax     After     Diluted     Before     Tax     After     Diluted  
     Tax     Impact     Tax     EPS     Tax     Impact     Tax     EPS  

Income including noncontrolling interest (GAAP)

   $ (3,035   $ (212   $ (3,247   $ (8.61   $ (344   $ (6   $ (350   $ (0.92

Income attributable to noncontrolling interest

     (191     (96     (287     (0.77     71       (40     31       0.08  

Loss attributable to Altus preferred unit limited partner

     16       —         16       0.05       —         —         —         —    
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income attributable to common stock

     (2,860     (116     (2,976     (7.89     (415     34       (381     (1.00

Adjustments:*

                

Asset impairments

     3,245       (682     2,563       6.78       639       (143     496       1.31  

Noncontrolling interest impact on Altus impairments

     (269     57       (212     (0.56     —         —         —         —    

Noncontrolling interest & tax barrel impact on Egypt adj

     —         —         —         —         13       (34     (21     (0.06

Valuation allowance and other tax adjustments

     —         655       655       1.74       —         42       42       0.10  

Loss on extinguishment of debt

     —         —         —         —         —         —         —         —    

Unrealized derivative instrument (gain)/loss

     (8     1       (7     (0.02     (15     2       (13     (0.03

Transaction, reorganization & separation costs

     33       (7     26       0.07       8       (3     5       0.01  

Modification of stock comp plans

     —         —         —         —         —         —         —         —    

(Gain)/loss on divestitures

     (23     5       (18     (0.04     (13     4       (9     (0.02
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted earnings (Non-GAAP)

   $ 118     $ (87   $ 31     $ 0.08     $ 217     $ (98   $ 119     $ 0.31  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
     For the Year Ended     For the Year Ended  
     December 31, 2019     December 31, 2018  
     Before     Tax     After     Diluted     Before     Tax     After     Diluted  
     Tax     Impact     Tax     EPS     Tax     Impact     Tax     EPS  

Income including noncontrolling interest (GAAP)

   $ (3,008   $ (674   $ (3,682   $ (9.77   $ 958     $ (672   $ 286     $ 0.75  

Income attributable to noncontrolling interest

     44       (211     (167     (0.44     464       (218     246       0.64  

Loss attributable to Altus preferred unit limited partner

     38       —         38       0.10       —         —         —         —    
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income attributable to common stock

     (3,090     (463     (3,553     (9.43     494       (454     40       0.11  

Adjustments:*

                

Asset impairments

     3,568       (750     2,818       7.45       725       (163     562       1.47  

Noncontrolling interest impact on Altus impairments

     (271     57       (214     (0.56     —         —         —         —    

Noncontrolling interest & tax barrel impact on Egypt adj

     —         —         —         —         13       (34     (21     (0.05

Valuation allowance and other tax adjustments

     —         854       854       2.27       —         72       72       0.18  

Loss on extinguishment of debt

     75       (16     59       0.16       94       (19     75       0.19  

Unrealized derivative instrument (gain)/loss

     44       (11     33       0.09       (103     21       (82     (0.21

Transaction, reorganization & separation costs

     50       (11     39       0.11       28       (7     21       0.06  

Modification of stock comp plans

     —         —         —         —         39       (9     30       0.07  

(Gain)/loss on divestitures

     (43     9       (34     (0.09     (23     5       (18     (0.05
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted Earnings (Non-GAAP)

   $ 333     $ (331   $ 2     $ 0.00     $ 1,267     $ (588   $ 679     $ 1.77  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

*

The income tax effect of the reconciling items are calculated based on the statutory rate of the jurisdiction in which the discrete item resides.

 

Page 6


APACHE CORPORATION

NON-GAAP FINANCIAL MEASURES

(In millions)

Reconciliation of Costs incurred to Upstream capital investment

Management believes the presentation of upstream capital investments is useful for investors to assess Apache’s expenditures related to our upstream capital activity. We define capital investments as costs incurred for oil and gas activities, adjusted to exclude asset retirement obligation revisions and liabilities incurred, capitalized interest, and certain exploration expenses, while including amounts paid during the period for abandonment and decommissioning expenditures. Upstream capital expenditures attributable to a one-third noncontrolling interest in Egypt are also excluded. Management believes this provides a more accurate reflection of Apache’s cash expenditures related to upstream capital activity and is consistent with how we plan our capital budget.

 

     For the Quarter Ended      For the Year Ended  
     December 31,      December 31,  
     2019      2018      2019      2018  

Costs incurred in oil and gas property:

           

Acquisitions

           

Proved

   $ 1      $ 1      $ 8      $ 6  

Unproved

     14        46        57        127  

Exploration and development

     533        860        2,464        3,321  
  

 

 

    

 

 

    

 

 

    

 

 

 

Total Costs incurred in oil and gas property

   $ 548      $ 907      $ 2,529      $ 3,454  
  

 

 

    

 

 

    

 

 

    

 

 

 

Reconciliation of Costs incurred to Upstream capital investment:

           

Total Costs incurred in oil and gas property

   $ 548      $ 907      $ 2,529      $ 3,454  

Asset retirement obligations settled vs. incurred - oil and gas property

     110        (1      153        20  

Capitalized interest

     (8      (8      (32      (36

Exploration seismic and administration costs

     (16      (34      (129      (152

Less noncontrolling interest - Egypt

     (44      (49      (155      (200
  

 

 

    

 

 

    

 

 

    

 

 

 

Total Upstream capital investment

   $ 590      $ 815      $ 2,366      $ 3,086  
  

 

 

    

 

 

    

 

 

    

 

 

 

Reconciliation of Net cash provided by operating activities to Cash flows from operations before changes in operating assets and liabilities

Cash flows from operations before changes in operating assets and liabilities is a non-GAAP financial measure. Apache uses it internally and provides the information because management believes it is useful for investors and widely accepted by those following the oil and gas industry as a financial indicator of a company’s ability to generate cash to internally fund exploration and development activities, fund dividend programs, and service debt. It is also used by research analysts to value and compare oil and gas exploration and production companies and is frequently included in published research when providing investment recommendations. Cash flows from operations before changes in operating assets and liabilities, therefore, is an additional measure of liquidity but is not a measure of financial performance under GAAP and should not be considered as an alternative to cash flows from operating, investing, or financing activities.

 

     For the Quarter Ended     For the Year Ended  
     December 31,      September 30,      December 31,     December 31,  
     2019      2019      2018     2019      2018  

Net cash provided by operating activities

   $ 778      $ 635      $ 1,043     $ 2,867      $ 3,777  

Changes in operating assets and liabilities

     42        1        (191     3        (245
  

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

Cash flows from operations before changes in operating assets and liabilities

   $ 820      $ 636      $ 852     $ 2,870      $ 3,532  
  

 

 

    

 

 

    

 

 

   

 

 

    

 

 

 

 

Page 7


APACHE CORPORATION

OIL & GAS RESERVES INFORMATION

For the Year Ended December 31, 2019

 

OIL (Mbbl)

        
     U.S.     Egypt1     North Sea     Total1  

Balance - Dec 31, 2018

     345,666       119,498       115,769       580,933  

Extensions and Discoveries

     52,297       21,039       9,017       82,353  

Purchases

     —         —         —         —    

Revisions

     (16,446     4,752       5,132       (6,562

Production

     (38,344     (30,885     (18,157     (87,386

Sales

     (18,312     —         —         (18,312
  

 

 

   

 

 

   

 

 

   

 

 

 

Balance - Dec 31, 2019

     324,861       114,404       111,761       551,026  
  

 

 

   

 

 

   

 

 

   

 

 

 

NGL’s (Mbbl)

        
     U.S.     Egypt1     North Sea     Total1  

Balance - Dec 31, 2018

     231,370       562       2,569       234,501  

Extensions and Discoveries

     41,343       27       697       42,067  

Purchases

     —         —         —         —    

Revisions

     (32,569     508       345       (31,716

Production

     (24,959     (340     (634     (25,933

Sales

     (32,822     —         —         (32,822
  

 

 

   

 

 

   

 

 

   

 

 

 

Balance - Dec 31, 2019

     182,363       757       2,977       186,097  
  

 

 

   

 

 

   

 

 

   

 

 

 

GAS (MMcf)

        
     U.S.     Egypt1     North Sea     Total1  

Balance - Dec 31, 2018

     1,893,493       509,138       111,151       2,513,782  

Extensions and Discoveries

     249,205       34,758       27,711       311,674  

Purchases

     —         —         —         —    

Revisions

     (509,753     18,570       4,015       (487,168

Production

     (233,447     (104,380     (19,944     (357,771

Sales

     (338,520     —         —         (338,520
  

 

 

   

 

 

   

 

 

   

 

 

 

Balance - Dec 31, 2019

     1,060,978       458,086       122,933       1,641,997  
  

 

 

   

 

 

   

 

 

   

 

 

 

TOTAL BOE (Mboe)

        
     U.S.     Egypt1     North Sea     Total1  

Balance - Dec 31, 2018

     892,618       204,916       136,863       1,234,397  

Extensions and Discoveries

     135,174       26,859       14,333       176,366  

Purchases

     —         —         —         —    

Revisions

     (133,974     8,355       6,146       (119,473

Production

     (102,211     (48,622     (22,115     (172,948

Sales

     (107,554     —         —         (107,554
  

 

 

   

 

 

   

 

 

   

 

 

 

Balance - Dec 31, 2019

     684,053       191,508       135,227       1,010,788  
  

 

 

   

 

 

   

 

 

   

 

 

 

Proved developed reserves:

        

Oil (Mbbls)

     278,145       103,573       101,712       483,430  

NGL’s (Mbbls)

     158,794       667       2,317       161,778  

Gas (Mboe)

     157,656       72,230       17,722       247,608  
  

 

 

   

 

 

   

 

 

   

 

 

 

Balance - Dec 31, 2019 (Mboe)

     594,595       176,470       121,751       892,816  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) 

Includes reserves attributable to noncontrolling interest in Egypt.    

 

Page 8