In 1954, three gentlemen, Truman Anderson, Raymond Plank and Charles Arnao, rounded up $250,000 in capital and founded the Apache Corporation (symbol: APA on the NYSE). Today, the company is heavily involved in gas and oil exploration and production throughout North America, Egypt and the North Sea.
Apache corporation is headquartered in Houston, Texas where they run its operations that include drilling and extracting of oil and gas reserves from approximately 1.563 billion gallons of combined reserves in owned and leased properties located in the aforementioned regions. John J. Christmann IV currently sits as the company’s CEO and President, overseeing approximately 3,800 employees worldwide.
As of December 2015, Apache was producing approximately 1,190,000 barrels of oil equivalent a day, with 47% of it coming from operations in the US. Approximately 50% of the company’s current United States reserves are located in the Permian Basin, which is located in the western part of Texas and the south-eastern part of New Mexico.
While there have always been concerns about the company’s operations in politically charged Egypt, it’s noteworthy that those operations are located in the western part of the country, away from a majority of the upheaval. To date, there have been no relevant issues that resulted in production interruptions.
Historically, the Apache Corporation has been involved in several major acquisitions of note. In 1991, the company acquired the aforementioned Permian Basin and other assets from Amoco for $515 million and Apache stocks. This doubled the company’s oil reserves. They came back in 1995 and acquired the Canadian-based DeKalb Energy Canada, again adding significant assets to its growing portfolio. Also, the company acquired its position in the North Sea when they bought the “Forties” oilfield for $1.3 billion.
For the year ended December 31, 2015, the Apache Corporation had gross revenues of US$6.383 billion, which resulted in net loss of -US$22.348 billion after adjustments. The company had US$18.842 billion in assets and US$4.228 billion in shareholder’s equity.