("Anadarko To Cut Back Capex In 2009, Sees Sales Volume Up," published at 7:56 a.m. EST, misstated the company's expected 2009 sales volume. The error derived from the source. The corrected story appears below.)

 
   DOW JONES NEWSWIRES 
 

Anadarko Petroleum Corp. (APC) said it would cut back capital spending as much as 18% this year, compared with a view for higher spending given six months ago, an eternity ago for the oil industry which has seen prices tumble since then and the recession worsen.

Numerous oil-and-gas producers have cut capital expenditures in recent months as the commodity prices have plunged. Some also have idled rigs and pared back production-growth forecasts.

"Even with reduced year-over-year capital expenditures, we expect to increase our total sales volumes in 2009," said Chief Executive Jim Hackett. He added 2009 would be a "challenging year" for the industry, and that Anadarko will continue to monitor the economic conditions as it allocates its capital.

The second-largest independent oil and natural-gas producer behind Devon Energy Corp. (DVN) set its capital-spending budget at $4 billion to $4.5 billion, down from last year's spending of $4.88 billion. The company had already said it would devote 20% of this year's plans to major projects, including the Jubilee field offshore Ghana, and 20% to exploration activities.

The company expects full-year sales volumes of 208 million to 212 million barrels of oil equivalent, compared with 2008's 206 million.

Anadarko's shares closed Tuesday at $39.24 and haven't traded premarket. The stock is down by half the past eight months.

-By Kerry E. Grace, Dow Jones Newswires; 201-938-5089; kerry.grace@dowjones.com