Apache Reports Increased 2007 Earnings

Exploration and production firm Apache Corporation has reported record 2007 earnings of $2.8 billion, or $8.39 per diluted common share, driven by record production and higher oil and natural gas prices. Apache earned $2.5 billion or $7.64 per share in 2006.

Excluding the non-cash impact of foreign currency fluctuations and tax rate changes on deferred tax balances, Apache’s 2007 adjusted earnings were $8.65 per share or 25% above 2006 adjusted earnings.

In the fourth quarter of 2007, Apache’s net income doubled to $1.07 billion, or $3.19 per share, from $519 million, or $1.56 per share, in the same period of 2006. Apache’s 2007 fourth-quarter adjusted earnings were $2.92 per share, up from $1.40 per share in the prior-year period.

Apache added reserves of 343 million barrels of oil equivalent from all sources in 2007. The company spent $5.25 billion on exploration and development and acquisitions, excluding asset retirement obligations and capitalized interest.

Steven Farris, president and CEO, said: “Apache had a record year in 2007 by virtually all financial and operational yardsticks. In addition to record earnings, Apache achieved these record results.”