December 4, 2018 - 4:15 PM EST
Print Email Article Font Down Font Up Charts

Apache Achieves First Oil at Garten Development in U.K. North Sea Less than Eight Months After Discovery

Well currently producing at 16.3 thousand barrels of oil equivalent per day (MBOE per day), 84 percent oil

HOUSTON, Dec. 04, 2018 (GLOBE NEWSWIRE) -- Apache Corporation (NYSE, Nasdaq: APA) today announced it has initiated production from its Garten development on Block 9/18a Area-W in the United Kingdom sector of the North Sea. The discovery well, which is located 6 kilometers south of the Beryl Alpha Platform, was placed on production in late November, less than eight months after being drilled in March 2018.

The discovery well at Garten encountered a downthrown structural closure with 778 feet of net oil pay in stacked, high-quality, Jurassic-aged sandstone reservoirs. The well is currently producing from the Beryl sand at a rate of 13.7 thousand barrels of oil per day (MBOPD) and 15.7 million cubic feet of gas per day (MMCFPD). Two lower zones were also successfully tested, and all three zones will ultimately be commingled to maximize recovery. The strong initial rate establishes excellent momentum late in the year and will positively impact Apache’s 2019 production guidance. As previously disclosed, the recoverable resource is expected to exceed 10 million barrels of light oil plus associated natural gas. Apache has a 100 percent working interest in the Garten development.

Jon Graham, region vice president – North Sea for Apache, said, “We are proud to have brought the Garten field online well ahead of our original target of first-quarter 2019. Performance from the three zones we tested is very encouraging, and we expect this field will significantly increase Apache’s reserves and production in the UK. With exposure to strong Brent oil and UK natural gas prices, Garten will be a notable contributor to Apache’s cashflow in 2019.

“The Garten project is an excellent example of Apache’s strategy in the North Sea to focus exploration activity near operated facilities and leverage existing infrastructure. The pace of this project would not have been possible without the skills and expertise we have within our team and close collaboration with companies in our supply chain,” continued Graham. “The support we received from the Oil and Gas Authority cannot be overstated, and we are proud to be contributing toward maximizing economic recovery in the UK North Sea with the successful development of the field.”

“Garten is a unique technical achievement and represents Apache’s most complex smart well completion to date. Our delivery on this project underscores Apache’s strong mix of integrated technical capabilities, project management expertise and cost discipline,” added Mark Hobbs, director of Operations & Projects at Apache North Sea.

Dr. Andy Samuel, chief executive of the Oil and Gas Authority said, "It is great to see the Garten field come onstream less than a year from the original discovery and well ahead of the original plan. The Garten well was the 2,500th exploration well on the UK Continental Shelf. Apache’s continued success reinforces the tremendous potential of the UKCS, which Apache is unlocking using advanced data gathering and analytics with excellent application of a number of technologies including 3D seismic to uncover high value near-field prospectivity.”

The Garten field is tied back to the Beryl Alpha platform, which is located 180 miles northeast of Aberdeen. It follows Apache’s successful Callater field discovery in the Beryl area, which came online in May 2017.

About Apache

Apache Corporation is an oil and gas exploration and production company with operations in the United States, Egypt and the United Kingdom. Apache posts announcements, operational updates, investor information and press releases on its website, www.apachecorp.com, and on its Media and Investor Center mobile application, which is available for free download from the Apple App Store and the Google’s Play store.

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,” “estimates,” “expects,” “guidance,” “outlook,” “will,” and similar references to future periods. 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 2017 Form 10-K filed with the Securities and Exchange Commission for a discussion of risk factors that affect our business. Any forward-looking statement made by us 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. We undertake 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 ("SEC") 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, 2017, 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

Contacts

Investor:  (281) 302-2286       Gary Clark

Media:      (713) 296-7276      Castlen Kennedy
                                                Phil West                                    

Website:  www.apachecorp.com

APA-G

Apache logo.jpg


Source: GlobeNewswire (December 4, 2018 - 4:15 PM EST)

News by QuoteMedia
www.quotemedia.com
Tags:

Legal Notice