HOUSTON, Aug. 18, 2014 /PRNewswire/ -- Apache
Corporation (NYSE, Nasdaq: APA) today announced an oil discovery at
the Phoenix South-1 well – the company's first discovery in
Australia's offshore Canning
Basin.
Wireline and formation pressure tools have confirmed at least
four discrete oil columns ranging in thickness between 85 and 151
feet (26 to 46 meters) in the Triassic Lower Keraudren formation,
within an overall, sand-rich section between 13,648 and 14,763 feet
below sea level (4,160 to 4,500 meters).
Six light oil samples have been recovered from three intervals
to date; permeability measurements from the sampled zones indicate
a productive oil reservoir with preliminary estimates that
there might be as much as 300 million barrels of oil in
place.* Evaluation of the formation penetrated in the Phoenix
South-1 is under way, and final calculation of hydrocarbon pay will
depend on additional analysis.
The Phoenix South-1 well is located in permit WA-435-P,
offshore western Australia, 110
miles (180 km) north of Port Hedland in 435 feet (133 meters) of
water. Apache has a 40-percent interest and operatorship of
WA-435-P and the adjacent permit WA-437-P; co-venturers are
Carnarvon Petroleum (20 percent), Finder Exploration (20 percent)
and JX Nippon (20 percent). Apache also has exercised its
option to acquire 40-percent interest and operatorship of two
additional adjacent permits (WA-436-P and WA-438-P) for a total
position of more than 5 million acres (20,000 square
kilometers).
The area includes a number of large, undrilled structures,
including the Roc prospect on WA-437-P, with potential to be
significant additional oil accumulations. Further drilling
and evaluation is planned for 2015.
"Although evaluation is at an early stage, Phoenix South-1 is an
exciting result," said Thomas E.
Voytovich, Apache's executive vice president and chief
operating officer – International. "The oil and reservoir quality
we have seen point to a commercial discovery. If these
results are borne out by further appraisal drilling, Phoenix South
may represent a new oil province for Australia. We look forward to working with our
partners to continue evaluation of the area."
* Oil in place estimate based on 10th percentile
probability.
About Apache
Apache Corporation is an oil and gas
exploration and production company with operations in the United States, Canada, Egypt, the United
Kingdom and Australia.
Apache posts announcements, operational updates, investor
information and copies of all 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 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," 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 drilling plans in Australia. 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 2013 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 press release,
such as "preliminary estimate of oil in place," 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
December 31, 2013, available from
Apache at www.apachecorp.com or by writing Apache at: 2000 Post Oak
Blvd., Suite 100, Houston, Texas
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.
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SOURCE Apache Corporation