Anadarko Petroleum Corp is engaged in the exploration and production of oil and natural gas. The Company's three operating segments are: Oil and gas exploration and production, Midstream and Marketing.
Anadarko Petroleum (APC) -0.2% AH after unadjusted earnings swung to a Q4 loss on contingent losses linked to a legal dispute related to the company's 2006 acquisition of Kerr-McGee.
APC believes the costs of claims related to its Kerr-McGee subsidiary - which eventually was spun off into Tronox - could range from $850M-$5.2B, although its reported Q4 loss accounted for a payment of just $850M; a federal judge has ruled APC could be liable for more than $14B.
APC's loss came as it reported a record level of oil and gas sales volumes for 2013, hitting an average of 781K boe/day, up 7% Y/Y, but Q4 revenue from oil and gas slipped to $3.34B from $3.41B a year earlier on softer prices.
APC is targeting the Eagle Ford and Wattenberg basins and is building up its operations in the Permian-Delaware basin, having completed its first six Wolfcamp wells in west Texas.
APC is moving capital away from the Marcellus Shale to the Texas side of the Wolfcamp play in the Delaware basin, Alembic analyst James Sullivan says, adding that APC’s lack of specificity during the call on its drilling activity for the six wells could be driven by its future plans for more land purchases.
More on Anadarko's (APC) Q1 results: Sales volumes grew 13% to a record 793K boe/day from 704K boe/day in a year ago. Increased 2013 sales volume guidance to 279M-287M boe from its previous view for 279M-285M. Says it monetized more than $1.2B of assets, including the $860M carried interest agreement at Heidelberg. Shares +0.4% AH.