Skip to main content March 2019 Marketing – Apache Corp Investor Presentation | Shale Experts
Loading...
Pm

March 2019 Marketing – Apache Corp

Apache Corp · Mar 25, 2019 · 33 slides

Investor presentation from the Shale Experts oil & gas presentation and slide database. Every page is imaged and its text indexed for search across operators, plays, basins and time.

Slides

  1. March 2019 Marketing – Apache Corp – slide 1
    Building for the Future MARCH MARKETING
  2. March 2019 Marketing – Apache Corp – slide 2
    Delivering Value 2018 Highlights & 2019 Budget Portfolio Overview Closing Thoughts Appendix 3
  3. March 2019 Marketing – Apache Corp – slide 3
    FRAMEWORK FOR LONGTERM VALUE CREATION BALANCED PORTFOLIO APPROACH Capital Allocation Focused on Maintaining Free Cash Flow Generators and Developing LongTerm Growth Optionality SUSTAINABLE PRODUCTION GROWTH Growing Permian Oil and…
  4. March 2019 Marketing – Apache Corp – slide 4
    2018 HIGHLIGHTS Strong Financial Performance & Execution RETURN TO INVESTORS SUSTAINABLE BALANCED PORTFOLIO PRODUCTION GROWTH Exceeded 2018 CROIC(1) target of 18% Delivered 13% adjusted production Formed Altus Midstream Company…
  5. March 2019 Marketing – Apache Corp – slide 5
    2019 CAPITAL BUDGET & ACTIVITY United States 3.4 Billion 1Q19 Guide of 625MM 10% Average 12 Rigs 29% Drill 85 wells at Alpine High focused primarily on rich gas 2.4 Billion development Drill 55 wells in Midland and 42 wells in…
  6. March 2019 Marketing – Apache Corp – slide 6
    Delivering Value 2018 Highlights & 2019 Budget Portfolio Overview Closing Thoughts Appendix 7
  7. March 2019 Marketing – Apache Corp – slide 7
    4Q 2018 GLOBAL PORTFOLIO Balanced Portfolio Aligns Returns Focus & Strategic Objectives GLOBAL UNITED STATES INTERNATIONAL 482,298 BOE/D 283,464 BOE/D Reported Production 198,834 BOE/D Reported Production Reported Production 31…
  8. March 2019 Marketing – Apache Corp – slide 8
    PERMIAN OIL PRODUCTION & RIG COUNT Delivering Growth More Efficiently 140 70 120 60 105 98 99 100 94 50 42 85 78 80 40 60 30 40 20 11 20 8 9 6 10 3 0 0 4Q14 4Q'14 4Q15 4Q'15 4Q16 4Q'16 4Q17 4Q'17 4Q18 4Q'18 4Q19E…
  9. March 2019 Marketing – Apache Corp – slide 9
    MIDLAND AND DELAWARE BASIN Driving Performance for Permian Basin Growth Southern Midland Basin production efficiency increased Key Focus Areas 12% on a per lateral foot basis from 2016 to 2018 New completion designs in Midland led to…
  10. March 2019 Marketing – Apache Corp – slide 10
    ALPINE HIGH Rich Gas Development Underway Formulation and Areal and Optimization and Focused NearTerm confirmation vertical transition to full Development and Setting Up of concept delineation field development the LongTerm 2014…
  11. March 2019 Marketing – Apache Corp – slide 11
    EGYPT Laying Foundation for Potential Growth Apache Egypt Acreage: 6.2 million acres 3D seismic data acquisition over more than 1.25 million acres Identified approximately 40 new leads thus far Drilling commenced using new data…
  12. March 2019 Marketing – Apache Corp – slide 12
    NORTH SEA High Margins, High Returns, Free Cash Flow Apache North Sea Acreage Sustaining North Sea production Water flood management at Forties successfully mitigating decline Successes at Callater & Garten drive higher…
  13. March 2019 Marketing – Apache Corp – slide 13
    SURINAME: HIGHIMPACT OIL EXPLORATION Block 58 is a 1.4 MM acre block on Ranger trend with a proven oil system Stabroek Area Exxon Discoveries Suriname 100% Apache owned Offshore Pacora 3D seismic surveys & processing Payara…
  14. March 2019 Marketing – Apache Corp – slide 14
    FRAMEWORK FOR LONGTERM VALUE CREATION BALANCED PORTFOLIO APPROACH Capital Allocation Focused on Maintaining Free Cash Flow Generators and Developing LongTerm Growth Optionality SUSTAINABLE PRODUCTION GROWTH Growing Permian Oil and…
  15. March 2019 Marketing – Apache Corp – slide 15
    Delivering Value 2018 Highlights & 2019 Budget Portfolio Overview Closing Thoughts Appendix 16
  16. March 2019 Marketing – Apache Corp – slide 16
    2019 CASH FLOW PRIORITIES Return to Investors Cash flow Increase Activity Build Cash Generated Above Plan Pricing Minimum 50% to investors Cash flow at Plan Pricing (53/bbl) Cash Flow at 45/bbl Cash Flow…
  17. March 2019 Marketing – Apache Corp – slide 17
    NGL PRICE CONTEXT YGrade and All the Cs YGrade as % of WTI / 2010 to February 2019 US NGL Market Overview 4.4 MMBBL/day (6.3 BCF/day) from gas Recovering Ethane and Propane prices processing in 2018 strengthen YGrade as % WTI…
  18. March 2019 Marketing – Apache Corp – slide 18
    NGL PRODUCTION Growing Fast but Demand is Catching Up NGL Production (MMBBL/day) / 2010 to 2020 NGL Market Growth Since 2010, US NGL production has grown at a faster rate than domestic crude oil and natural gas production Natural…
  19. March 2019 Marketing – Apache Corp – slide 19
    ETHANE SNAPSHOT Three Fundamental Phases Spot MB Ethane, Henry Hub Natural Gas, Frac Margin (/gal) / January 2010 to February 2019 Ethane Overview Supportive 2018: Largest annual inventory draw since 2010 Similar fundamentals in…
  20. March 2019 Marketing – Apache Corp – slide 20
    PROPANE SNAPSHOT A Similar Story Spot MB Propane, Prompt Contract WTI (/gal) / January 2010 to February 2019 Propane Overview Like ethane, shale maturity weakened propane prices to historically low levels The two warmest winters…
  21. March 2019 Marketing – Apache Corp – slide 21
    NGL EXPORTS Exports by Destination Ethane Exports by Destination (KBBL/day) / January 2010 to November 2018 Propane Exports by Destination (KBBL/day) / January 2010 to November 2018 Source: Apache EF, EIA +525 KBBL/day of new…
  22. March 2019 Marketing – Apache Corp – slide 22
    ALPINE HIGH Estimated Uplift from Cryogenic Processing/Gulf Coast Transportation LLI (MM) 600 222MM of Uplift 500 54 400 169 300 477 200 255 100 0 MRU Processing with Uplift with Cryogenic Uplift with…
  23. March 2019 Marketing – Apache Corp – slide 23
    NORTH SEA Garten Update Garten1 Well Announced discovery in March 2018 (APA 100% WI) Garten1 Brought online in December, now producing from 3 commingled zones Cumulative production of nearly 1 million barrels of oil & 1 Bcf of…
  24. March 2019 Marketing – Apache Corp – slide 24
    2019 CAPITAL BUDGET PRICE ASSUMPTIONS 2019E WTI 53.00 Benchmarks Brent 61.00 NYMEX Henry Hub 2.80 NBP Gas 7.00 NGLs 50% of WTI before T&F fees WTI Midland (2.50) Diffs Waha (1.30) Permian (1.30) 25
  25. March 2019 Marketing – Apache Corp – slide 25
    SIGNIFICANT INDUSTRY ACTIVITY INCREASE FOLLOWING ALPINE HIGH ANNOUNCEMENT September 2016 December 2018 ERSON REEVES JEFF DAVIS Drilled/ Drilling Count: 267 Drilled/ Drilling Count: 267 Current Permit Count: 94…
  26. March 2019 Marketing – Apache Corp – slide 26
    ALPINE HIGH: DISTINCT SOURCE ROCK AND PARASEQUENCE INTERVALS 3rd BONE SPRINGS Parasequences High frequency, rapidly rising and falling sea level environment WOLFCAMP UNCONFORMITY PENNSYLVANIAN Tranquil marine Source…
  27. March 2019 Marketing – Apache Corp – slide 27
    ALPINE HIGH: STRUCTURAL CROSS SECTION NORTHERN FLANK CREST SOUTHERN FLANK Evaporites Transgressive Parasequences 7,500 8,500 OIL 8720 9,500 9210 9420 9130 9700 9760 9925 10820 10215 Transgressive Source…
  28. March 2019 Marketing – Apache Corp – slide 28
    ALPINE HIGH: GEOLOGY OF THE SOUTHERN DELAWARE BASIN IMMATURE South West Alpine High North East Evaporites 5,000 OIL Bone Springs / Wolfcamp 10,000 Penn / Barnett / Woodford Bone Springs / Wolfcamp WET GAS…
  29. March 2019 Marketing – Apache Corp – slide 29
    ALPINE HIGH: BLACKFOOT PATTERN & SPACING TEST (NOT TO SCALE) Drilled & Completing WELLBORES COLORED BY BATCH PAD 30
  30. March 2019 Marketing – Apache Corp – slide 30
    ALTUS MIDSTREAM: OVERVIEW Pure Play Permian Basin Company With Diversified G&P and Pipeline Assets Publicly traded CCorp with 325MM shares outstanding (79% owned by Apache) 2.7 Billion market cap / 625MM in cash and zero debt, as…
  31. March 2019 Marketing – Apache Corp – slide 31
    ALTUS MIDSTREAM: PERMIAN PIPELINE ASSETS Pipelines Expected in Service by YE 2020 Altus owns or has the option to participate in five joint venture pipeline projects Nat Gas 16%(1) of KMIs GCX (Exercised) 27% of KMIs Permian…
  32. March 2019 Marketing – Apache Corp – slide 32
    A LEADER IN ESG ENGAGEMENT AND SUSTAINABILITY REPORTING DISCLOSING THE FACTS 1 tCO2e/Mboe = metric tons of carbon dioxide equivalent per thousands of barrels of oil equivalent 4 Workforce TRIR (Total Recordable Incident Rate)…
  33. March 2019 Marketing – Apache Corp – slide 33
    GLOSSARY OF REFERENCED TERMS Upstream Capital Investment: Includes exploration, development, gathering, transmission, and processing capital, capitalized overhead, and settled asset retirement obligations, and excludes capitalized…

From the store

Browse maps, data & reports in the Shale Experts store