GoM Lease Sale: Apache Expands Presence in Gulf of Mexico
Apache Corporation announced it was the high bidder on 90 shelf and deep water blocks in the Central Gulf of Mexico offshore lease sale held by the Bureau of Ocean Energy Management (BOEM) in New Orleans.
Of the 56 companies submitting bids for Gulf of Mexico acreage, Apache Corp. was ranked No. 1 overall for its 61 high bids on the shelf, while Apache Deepwater LLC, the company’s deep water arm, was ranked No. 4 overall with 29 high bids.
The sum of the combined high bids was nearly $96 million gross.
“We’re excited about these blocks and our expanding presence in the Gulf of Mexico,” said G. Steven Farris, Apache chairman and chief executive officer. “The Gulf of Mexico is integral to Apache’s long-term growth. The shelf provides some of the best margins, highest returns and most free cash flow, and the deep water has some of the best exploration potential of any region in our global portfolio.”
Bidding on acreage in the shelf was focused on areas where Apache is acquiring proprietary seismic data, along with moderate to deep exploration prospects based on recently acquired and reprocessed seismic data. Successful deep water bids were focused on Pliocene and Miocene trends where Apache has acquired a significant seismic data base. Deep water bid partners included Stone Energy, Samson, Noble, Repsol, Nexen and Ecopetrol.
“This was a very robust lease sale with premium acreage,” said Jon Jeppesen, executive vice president of Apache’s Gulf of Mexico regions. “These blocks strengthen our position on the shelf and in the deep water. In both areas, Apache has the fiscal wherewithal, technical prowess and experience to capture the value of these opportunities.”
The shelf and deep water Gulf of Mexico currently represents 15.5 percent of Apache’s overall daily production.
- Republicans: Obama taking too much credit for Gulf lease sale (fuelfix.com)
- USA: API Upstream Director Calls for Expanded Five-Year Offshore Plan (mb50.wordpress.com)
- Maersk Bags Gulf of Mexico Contract for Its Under-Construction Drillship (mb50.wordpress.com)
- No relief for natural gas producers as Apache’s Kitimat plant delayed (mb50.wordpress.com)
Posted on June 21, 2012, in AMERICAS, Drilling, Exploration, Gulf of Mexico, North America, Oil & Gas - offshore, United States and tagged Apache, Apache Corporation, Bureau of Ocean Energy Management, Central Gulf of Mexico, deepwater, Ecopetrol, Expands, GOM, Gulf, gulf of mexico, Lease, Mexico, New Orleans, Nexen, Of, Pliocene, Presence, Sale. Bookmark the permalink. Comments Off on GoM Lease Sale: Apache Expands Presence in Gulf of Mexico.