Apache has several headwinds ahead that could alter the company’s outlook and trajectory.
Abandonment liabilities increasing into the +4 billion dollar range as North Sea and Fieldwood combine to create a very significant financial drag.
Permian basin starting to show signs off deliverability well issues as wells enter the post flush phase…that long runway is looking less attractive.
Gran Morgu…aka Deepwater Alpine High…something is off here…like a purposeful delay and concern from project manager…that the promised 250,000 bopd peak may actually be closer to half advertised and with high decline rates
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Even if everything goes as planned, and they produce 220K/day starting in 2028, APA won’t see much of that money until TTE recovers all their investments, expect a positive cash flow for Apa around 2031.
Exxon won't take people from Apache (which is why they haven't bought us. Oh-- that and the fact that APA has nothing worth purchasing!).
I hope that actual APA employees realize the trolls that start these threads do not have any insight or knowledge into what’s actually happening at APA. I hope the trolls realize they aren’t helping anything. They are seeding very false narratives to feel better about themselves in some perverse way.
TTE did an OBN survey over B58. That is very much normal course. XOM has done it all over Guyana. It forms a good base for 4d seismic to ensure best recovery over time of these developments. Nothing to do with questioning resource quality.
Sure APA over different periods will have different return profiles vs peers. Not trying to defend it all, but was just making the point if BK was remotely possible you wouldn’t have seen recent positive relative performance. I think trolls coming in here trying to stir the pot is so counter to helping employees. Management needs to be forthcoming with employees about how the company is doing and if it wasn’t and people had knowledge they wanted to share here fine… but that’s not what’s going on. It’s poorly informed or purposely deceitful folks stirring the pot… totally useless to employees or worse destructive.
@c4 It's out performed this year by a little, but grossly underperformed for the last 2, 3, 4, and 5 year periods. Cherry picking much? APA is a c4*p company
@dq Lots of gas.
@OP some good points..towing the narrative…there’s some concern from the top levels of Total that production will significantly be below expectations..they are timing activities to conduct more studies on the well side…the 5Billion carry was a sweet deal…stay tuned…Deep water Alpine high…
Hmm some joker starts 3 threads bringing up bankruptcy in a week… project much?
Stock has out performed oil peers YTD while reducing debt over $1bn. There is no BK brewing and the people that keep suggesting that clearly not credible to comment on finance.
Go look at any recent report about timing of discovery to first oil and you’ll see GM is a great outcome vs industry average. Even IEA makes the point of timing discovery to first oil has crept into 20 year area with latest report. 2019 -> 2028 is damn short. This isn’t a UKNS redeployed FPSO, but a new build. Timing is a bit longer but still well inside industry average.
Yes, everyone is going to Exxon