APACHE Corporation will offload its non-core assets in southern Louisiana and in the Anadarko basin to third parties under deals worth a combined US$1.4 billion.
Apache will offload its stake in about 36,422 hectares in Louisiana, while retaining another 111,289 mineral hectares in the south of the state.
“These mature fields, which are characterised by high decline rates and short reserve lives, produced approximately 21,000 barrels of oil equivalent (boe) per day (62 per cent gas and non-gas liquids) net to Apache during the third quarter of 2014,” the company said in an announcement.
The company will also sell about 46,539 hectares in a portion of its Stiles Ranch field in Wheeler County, Texas, and in its Mocane-Laverne and Verden fields in western Oklahoma.
Net production from these properties averaged 26,000 boe per day (83% gas and non-gas liquids) during the third quarter of 2014.
Apache chief executive G. Steven Farris said the company had made progress in positioning its North American onshore portfolio for growth and high returns during the year, with more than 121,406 hectares of leasehold land in key growth plays added.
“Proceeds from today’s announced asset sales will be used primarily to fund our 2014 leasehold acquisition program, which has added significant acreage within our primary focus areas,” he said.
“We are excited about our 2015 drilling plan, which will focus on projects that generate high rates of return and competitive growth, even in today’s lower oil price environment.”
The company has forecast onshore liquids growth in North America of between 12% and 16% when adjusted for 2014 asset sales – putting the growth rate at between 8% and 12% on a barrels of oil equivalent basis.