Apache Projects Lower Capex, Production For 2016 - Quick Facts

(RTTNews) - While reporting its fourth-quarter financial results today, independent energy company Apache Corp. (APA) projected capital expenditure for fiscal 2016 to be 60 percent lower than the prior year. The company also forecast full-year production volumes to decline from last year.

The company projects its 2016 total capital program in a range of $1.4 billion to $1.8 billion, which the company will adjust up or down to align with actual commodity prices and resulting cash flow. This is a reduction of more than 60 percent from 2015 levels and more than 80 percent from 2014 levels.

Apache expects fiscal 2016 total pro forma production volumes, excluding Egypt noncontrolling interest and tax barrels, to range from 433 to 453 Mboe per day, which represents a decline of 7 to 11 percent from pro forma 2015 production of 486 Mboe per day.

With approximately 45 percent of its 2016 budget allocated to North America Onshore, pro forma production is projected to be in a range of 263 to 273 Mboe per day, which represents a decline of 12 to 15 percent compared to 2015.