Skip to main content PERMIAN BUS TOUR – Apache Corp Investor Presentation | Shale Experts
Loading...
Pm

PERMIAN BUS TOUR – Apache Corp

Apache Corp · Nov 15, 2013 · 39 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. PERMIAN BUS TOUR – Apache Corp – slide 1
    PERMIAN BUS TOUR November 15, 2013
  2. PERMIAN BUS TOUR – Apache Corp – slide 2
    TRACK RECORD OF LONG-TERM GROWTH THE EVOLUTION OF APACHES PORTFOLIO N.A. Onshore Liquids MBOE/D, Net Expansion 850 800 Continued International 750 Expansion 700 650 600 550 500 First 450 International Entry 400 350 300…
  3. PERMIAN BUS TOUR – Apache Corp – slide 3
    THE EVOLUTION OF APACHES PORTFOLIO LIFE CYCLES Beginning End % Time Frame Life Cycle Description (MBOE/D) (MBOE/D) Increase 1993 to 1997 First International Entry 86 170 +98% - Egypt, Canada and Australia 1999 to 2003 Continued…
  4. PERMIAN BUS TOUR – Apache Corp – slide 4
    OPTIMIZING THE CURRENT LIFE CYCLE PORTFOLIO REBALANCING: EXPAND NORTH AMERICA ONSHORE LIQUIDS 2009 Production by Region 3Q 13 Pro Forma Production by Region* 583 MBOE/D 625 MBOE/D Australia Argentina Australia Argentina North…
  5. PERMIAN BUS TOUR – Apache Corp – slide 5
    PORTFOLIO OF LEADING POSITIONS Growing through the drillbit: 1 driller onshore U.S. (nearly 80 rigs) 1 in Permian Basin (45 rigs/ 20 Hz) 2 in Anadarko Basin (31 rigs / 29 Hz) 1 Independent operator in UK North Sea (Brent oil) 1…
  6. PERMIAN BUS TOUR – Apache Corp – slide 6
    2013 ROADMAP TO VALUE CREATION Accelerate North America onshore drilling 35%+ N.A. onshore liquids growth (up from 25% initial guidance) Advance major projects (including LNG) 2.2B capex for project development (1.2B for LNG) 700MM…
  7. PERMIAN BUS TOUR – Apache Corp – slide 7
    2013 ROADMAP TO VALUE CREATION Rebalance portfolio for consistent, profitable growth 7 billion asset sales and monetizations announced to date Pay down debt (financial flexibility) Board authorization to repurchase up to 30 MM…
  8. PERMIAN BUS TOUR – Apache Corp – slide 8
    3RD QUARTER 2013 RESULTS Adjusted earnings: 932 BN* Cash flow: 2.7 BN* N.A. onshore liquids growth: 35% increase YoY Net daily production: 784 MBOE/D 54% Liquids 47% N.A. Onshore 29% Permian + Central * Cash from operations…
  9. PERMIAN BUS TOUR – Apache Corp – slide 9
    BEST IN CLASS NA ONSHORE LIQUIDS GROWTH 3Q 2013 VS. 3Q 2012 40% 35% 35% 33% 30% 25% 25% 20% 16% 15% 15% 10% 5% 4% 0% Apache A B C D E 10 Peers include: Anadarko, Chesapeake, Devon, EOG, and Occidental.
  10. PERMIAN BUS TOUR – Apache Corp – slide 10
    ACCELERATION OF N.A. LIQUIDS GROWTH LIQUIDS (NET BARRELS/DAY) NET BOE/DAY 160,000 250,000 Permian Central 149 Permian Central 226 140,000 200,000 120,000 100,000 150,000 80,000 100,000 89 60,000 39 40,000 50,000…
  11. PERMIAN BUS TOUR – Apache Corp – slide 11
    RESOURCE BASE: VISIBLE, PREDICTABLE UPSIDE* PREDOMINANTLY ONSHORE NORTH AMERICAN LIQUIDS Proved Reserves + Proved Reserves Permian / Central Resources 2.9 BBOE 11.7 BBOE Canada Argentina Australia Canada North Sea 5%…
  12. PERMIAN BUS TOUR – Apache Corp – slide 12
    DRIVING DOWN COSTS IN RESOURCE PLAYS Drilling and Completion Costs Focus Reducing drilling days Reducing frac costs Pad drilling Self sourcing Optimizing bit selection Optimizing frac designs Mud programs Synergies from pad drilling…
  13. PERMIAN BUS TOUR – Apache Corp – slide 13
    PERMIAN BASIN RAMPING UP HORIZONTAL DEVELOPMENT New Mexico Texas Resource Summary* Acreage: Gross 3.5 MM Net 1.6 MM Net Resources 3.8 BBOE Midland Identified Locations 34,518 2012 Highlights 108 MBOE/D Net Production 20 mi…
  14. PERMIAN BUS TOUR – Apache Corp – slide 14
    APACHES GROWING PRESENCE IN THE PERMIAN 6X INVESTMENT, 8X OPERATED RIG COUNT IN 3 YEARS Apache Permian Evolution: 2010 2011 2012 2013E Employees 345 662 816 896 Investment 0.4B 1.2B 2.3B 2.4B + Avg Rigs 5 25 32 41 + Hz Wells…
  15. PERMIAN BUS TOUR – Apache Corp – slide 15
    RESOURCE PLAY INVENTORY AS OF MAY 2012 Known Locations to Drill 34,518 Net MMBOE 3,785 % of MMBOE PUD 6.2% New Mexico Texas Central Basin Platform + N/NW Shelf CBP + N/NW Shelf Midland Basin Midland Vertical Locations 9,798…
  16. PERMIAN BUS TOUR – Apache Corp – slide 16
    PERMIAN OIL: DELIVERING PROFITABLE GROWTH MBOE/D Avg. Op. 2013 Plans (Bar) Rigs (Line) 135 45 E&D Capital 2.4B+ 120 40 Average Rigs 41+ 105 Mariner 35 Gross Wells 800+ Total / 200 Hz+ Closing 90 BP Closing 30 Horizontal Oil…
  17. PERMIAN BUS TOUR – Apache Corp – slide 17
    MIDLAND BASIN DEADWOOD VERTICAL PROGRAM IMPACTIVE GROWTH APA acreage Aggressive growth: production up 9.3x to 28MBOE/D in 34 months Stepping out of core area targeting Wolf-Wood Deadwood Successfully utilizing seismic to target…
  18. PERMIAN BUS TOUR – Apache Corp – slide 18
    APACHE HORIZONTAL PLAY ACTIVITY 2010-13 Midland Deadwood Shale Plays Drilled and Proved (11) Nine New Plays Planned for 2013 19
  19. PERMIAN BUS TOUR – Apache Corp – slide 19
    WOLFCAMP SHALE: BUILDING ON 2012 SUCCESS Apache Wolfcamp Shale Summary Wolfcamp APA Gross Acres (000) 450 Shale APA Net Acres (000) 345 Horizontal Wells Drilled 2012 21 Horizontal Wells Planned 2013 90+ Drilling Locations 971…
  20. PERMIAN BUS TOUR – Apache Corp – slide 20
    WOLFCAMP SHALE GR Lith HCPV Flag Spraberry Field Production L. Spraberry Midland Basin Scott Sugg 1213 Leonard Lime 6H Pilot Dean Leonard Upper Wolfcamp Leonard Upper Spraberry 3 miles N Lower Spraberry…
  21. PERMIAN BUS TOUR – Apache Corp – slide 21
    WOLFCAMP SHALE: BARNHART AREA OF IRION CO. PRODUCTION GROWTH: UP 5X TO 11.1 MBOE/D OVER THE PAST YEAR 27,609 MCFD Scott Sugg Lease: 30,000 64 62 29 Producers 55 Wells 60 Daily Prod: 6,400 BO 58 56 + 8.6 MMCFG 25,000 54 52 50…
  22. PERMIAN BUS TOUR – Apache Corp – slide 22
    Basin (West) BARNHART WOLFCAMP LANDING ZONESShelf (East) Clinch Bennie Scott-Sugg Sugg 2829 2H Scott Sugg 1213 6H Sugg Strip 6H Acreage Acreage 5051 1H A A Dean Upper Wolfcamp Middle Wolfcamp Lower Wolfcamp Lower…
  23. PERMIAN BUS TOUR – Apache Corp – slide 23
    WOLFCAMP SHALE: EXPANDING ACTIVITY NORTH Company A: DL Hutt C 1H APA Miller 36 1HM 24 hr IP: 1,693 BOEPD Peak IP: 1,241 BOEPD Midland Co. 75% Oil 4878 lateral 7,380 lateral Company C Currie-Glass 10 151HU APA Miller 36 2 HU IP: 974…
  24. PERMIAN BUS TOUR – Apache Corp – slide 24
    WOLFCAMP SHALE: MANY ADDITIONAL AREAS TO TEST AND DEVELOP Powell/Miller University/Weatherby Taylor Draw 1 well drilling Jeffs SRH Long Rogers Barnhart 4 wells drilled 2 well drilleds Evaluating 3 wells drilled Evaluating 85 wells…
  25. PERMIAN BUS TOUR – Apache Corp – slide 25
    CLINE SHALE: EXPANDING HZ PROGRAM Apache Cline Shale Summary APA Gross Acres (000) 650 APA Net Acres (000) 520 Horizontal Wells Drilled 2012 6 Horizontal Wells Planned 2013 40 Deadwood area Drilling Locations 2,321 Inventory Net…
  26. PERMIAN BUS TOUR – Apache Corp – slide 26
    CLINE SHALE (ALSO REFERRED TO AS WOLFCAMP D) LEADING GLASSCOCK CO. CLINE PLAYER Deadwood Horizontal Cline Average Daily Production Marlin 900 Barracuda 45 2H Marlin 47 2H Lee 800 Squire Type Curve* 700 600 Red Snapper 500…
  27. PERMIAN BUS TOUR – Apache Corp – slide 27
    CENTRAL BASIN PLATFORM PRODUCTION HEART OF THE BASIN, WITH UPSIDE APA acreage Acres (000) 1,700 (780 net) North Shelf NET MBOE/D (Sept) 63.2 Northwest Shelf 2013 New Wells 295 Drilling Inventory 9,798 Locations Central Basin 691…
  28. PERMIAN BUS TOUR – Apache Corp – slide 28
    CENTRAL BASIN PLATFORM HORIZONTAL REDEVELOPMENT RESULTS Continued success drilling Three Bar (Wichita Albany) horizontals in multiple formations across waterfloods and primary producing fields Three Bar Targeting by-passed oil…
  29. PERMIAN BUS TOUR – Apache Corp – slide 29
    DELAWARE BASIN EMERGING OPPORTUNITIES Acres (000) 609 (287 net) Net MBOE/D (Sept) 3.8 2013 New Wells (Sept) 18 Avalon/ Bone Spring Drilling Inventory 1,823 Locations 284 MMBOE net Stratigraphy APA acreage Wolfbone Target…
  30. PERMIAN BUS TOUR – Apache Corp – slide 30
    WOLFBONE 2400 VERTICAL SHALE PLAY WITH HORIZONTAL UPSIDE Delaware Basin Apache Acreage Type Log Gamma Ray Organic Indicator Reservoir Parameters Bell Canyon Mountain Delaware Prolific, organic-rich Bone Spring Wolfcamp Group Cherry…
  31. PERMIAN BUS TOUR – Apache Corp – slide 31
    BONE SPRING/WOLFCAMP 2,500 NET PAY SECTION WITH MULTIPLE TARGET Delaware Basin Apache Acreage Type Log Gamma Ray Organic Indicator Reservoir Parameters Bell Canyon Mountain Delaware (Avalon, 1st, +2nd, 3rd Bone Spring, Wolfcamp) Group…
  32. PERMIAN BUS TOUR – Apache Corp – slide 32
    PECOS BEND DELAWARE BASIN Chaparral 89 1H Apache Acreage Type Log 5114 2nd Bone Sp North Delaware Basin Lateral 9369TVD Gamma Ray Organic Indicator Robin 8 1H 4400 Wolfcamp Bell Canyon Lateral 11,537TVD Delaware Cherry Canyon…
  33. PERMIAN BUS TOUR – Apache Corp – slide 33
    PECOS BEND ACREAGE POSITION Land Summary: 6,066 gross / 5,409 net acres Built position thru acquisitions/trades BP acquisition: 2,633 net mineral acres with NRI = 89.5% to 93.75% Industry trades: 2,557 gross / 2,389 net acres…
  34. PERMIAN BUS TOUR – Apache Corp – slide 34
    YESO RAMPING UP ACTIVITY A State 40 Eddy Co. 30-day IP BOE/D 100 NFE Fed 12 Acres (000) 105 (70 net) EUR MBOE 119 30-day IP BOE/D 103 EUR MBOE 219 Net MBOE/D (Sept.) 5.0 Washington 33 St 43 30-day IP BOE/D 110 Horizontal EUR MBOE…
  35. PERMIAN BUS TOUR – Apache Corp – slide 35
    YESO GROWING PRODUCTION BY TARGETING MANY ZONES 35,000 9,000 Type Log 2011 - 2013 Yeso Production 8,000 Horizontal Landing Zones 30,000 7,000 25,000 4,000 Glorieta 6,000 Paddock M 20,000 5,000 B C 4,500 O F P Blinebry P…
  36. PERMIAN BUS TOUR – Apache Corp – slide 36
    YESO VERTICALS WEST SIDE EAST SIDE Coffee Fed 15 A A Coffee Fed State State 13 Coffee Fed Coffee Fed 56 48 17 12 Lee Fed 56 Coffee Fed D 14 Lee Fed 61 Tony Fed AB State State 38 Lee Fed 51 647 Lease D 96 State 91 Lee Fed…
  37. PERMIAN BUS TOUR – Apache Corp – slide 37
    YESO HORIZONTAL DEVELOPMENT CEDAR LAKE West East Conventional fractured dolomite play Targeting three intervals: Paddock Upper Blinebry Lower Blinebry Total of 93 Hz wells planned from 17 pads Yeso Pad 27W Pad 5 Core…
  38. PERMIAN BUS TOUR – Apache Corp – slide 38
    PERMIAN REGION EXCEEDING EXPECTATIONS Net MBOE/D 180 160 - - - - Actual Production 140 120 Drilling 100 May 2012 80 Projections 60 40 Production 20 Base 0 2011 2012 2013E 2014E 2015E 2016E 39
  39. PERMIAN BUS TOUR – Apache Corp – slide 39
    2013 ROADMAP FOR VALUE GROWTH Accelerate North America onshore liquids growth Advance major projects (including 2 world class LNG hubs) Rigorously drive down costs Continue to grow our dividend Rebalance portfolio for consistent,…

From the store

Browse maps, data & reports in the Shale Experts store