The Alpine High in West Texas, where Apache Corp. threw its chips into making the No. 1 prospect in its portfolio, has crashed on low natural gas and liquids prices, forcing the Houston independent to walk away.
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A “significant” oil and natural gas discovery in South America offshore Suriname has uncorked at least seven distinct plays, joint owners Apache Corp. and Total SA said Tuesday.
Presidio Investment Holdings LLC, a portfolio company of Morgan Stanley Energy Partners, has acquired Apache Corp.’s oil and natural gas producing properties that were within the Anadarko Basin of Texas, Oklahoma, and Kansas.
Total SA would receive $815 million to takeover Toshiba Corp.’s U.S. liquified natural gas (LNG) interests in a deal expected to close later this year that would further expand the French company’s global portfolio in the space. Meanwhile, Apache Corp. has inked a first-of-its-kind deal with Cheniere Energy Inc. to sell natural gas based on international prices.
Houston-based Altus Midstream Co. has started up the first of three cryogenic processing trains at the Diamond Cryo Complex in West Texas, helping to alleviate Alpine High natural gas shut-ins by its primary customer Apache Corp.
Houston-based Altus Midstream Co., which owns most of the assets servicing Apache Corp.’s Alpine High in the Permian Basin, has exercised an option to acquire a 26.7% stake in the 2 Bcf/d Permian Highway Pipeline (PHP), which when completed could deliver natural gas from West Texas to the Gulf Coast.
Apache Corp., which is working to balance its ample natural gas production in the Permian Basin with more oil and liquids, hit a record 248,000 boe/d in the West Texas-New Mexico play during the first quarter, 36% higher year/year and up 5% sequentially.
Apache Corp. on Tuesday said it initiated natural gas production volume deferrals in late March from its Alpine High play in the Permian Basin of West Texas, in response to “extremely low prices at Waha hub,” with current deferrals representing 250 MMcf/d of gross output.
With the Alpine High natural gas program basically on autopilot, Apache Corp. is bearing down on developing more liquids and oily resources across the Permian Basin, CEO John Christmann said Thursday.