Apache Reports Horizontal Drilling Successes
in Canada's Kaybob Dunvegan Play
HOUSTON, Nov. 20, 2012 /PRNewswire/ -- Apache Corporation (NYSE, Nasdaq: APA) today announced promising drilling results in the Dunvegan oil reservoir in the Kaybob development area in Alberta, Canada. Kaybob is a prolific area located 310 miles (500 km) northwest of Calgary that contains 16 known productive horizons; the Dunvegan play is one of the primary targets.
The most recent of four Kaybob Dunvegan development wells — the 1-35 — tested at a rate of 300 barrels of oil per day (bopd). The well was drilled to a vertical depth of 5,700 feet (1,732 meters) with a 4,300-foot (1,319-meter) lateral and a 13-stage fracture stimulation completion.
The first well in the campaign — the 1-9 — tested at a peak rate of 280 bopd. It was drilled to a vertical depth of 5,500 feet (1,676 meters) with a 4,900-foot (1,490-meter) lateral and 13 fracture stages.
"These wells were drilled in areas which have been producing for over 40 years but which have the potential to be completely rejuvenated through the application of horizontal drilling and multi-stage hydraulic fracturing," said Tim Wall, president of Apache Canada. "These encouraging results have contributed to identifying more than 2,000 potential horizontal drilling locations across our 238,000-acre gross (179,000-acre net) leasehold."
The Dunvegan is a widespread, high quality Upper Cretaceous sandstone reservoir. A 13-stage horizontal well is expected to recover an estimated 560,000 barrels of oil equivalent. Longer term, the Dunvegan represents a good candidate for additional production by means of secondary recovery.
"Apache's leading acreage position in the Kaybob area is another example of the richness of our portfolio," Wall said. "Like other Apache regions, we are focused on growing through the drill bit in oil- and liquids-rich-gas plays with a significant backlog of drilling locations in a number of stacked pay areas."
Apache Corporation is an oil and gas exploration and production company with operations in the United States, Canada, Egypt, the United Kingdom North Sea, Australia and Argentina. Apache posts announcements, operational updates, investor information and copies of all press releases on its website, www.apachecorp.com.
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 in Canada including statements about drilling plans and future production growth. 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 2011 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.
SOURCE Apache Corporation
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Posted: November 23, 2012