On February 22, 2024, APA Corp (APA, Financial) released its 8-K filing, detailing a robust financial and operational performance for the fourth quarter and the full year of 2023. Based in Houston, APA is an independent exploration and production company with a significant presence in the U.S., Egypt, the North Sea, and Suriname. At year-end 2023, the company reported proved reserves of 890 million barrels of oil equivalent, and a net production of 400 thousand boe/day for the year.
APA Corp's strong financial results were driven by exceptional well performance and execution, particularly in the Permian Basin. The company's strategic focus on generating free cash flow and returning value to shareholders was evident, with nearly $1 billion in free cash flow generated and 66% returned to shareholders through stock repurchases and dividends.
APA Corp's CEO, John J. Christmann IV, highlighted the company's operational successes, including the appraisal program in Suriname, which identified an estimated recoverable oil resource of 700 million barrels. The company also expanded its exploration portfolio with new acreage in Alaska and offshore blocks in Uruguay.
The continuation of our exceptional well performance and execution in the Permian Basin drove APA’s strong results in 2023," said John J. Christmann IV, APA’s chief executive officer. "We generated nearly $1 billion in free cash flow and returned 66% to shareholders."
Looking ahead to 2024, APA Corp plans to invest between $1.9 and $2.0 billion in upstream oil and gas capital, with a focus on long-term investments in exploration activities and progressing a large-scale FPSO project in Suriname. Despite potential for lower commodity prices, the company intends to manage costs effectively and prioritize strategic opportunities.
APA Corp's financial achievements in 2023, including a reduction in net debt to $5.1 billion and a disciplined capital investment strategy, underscore the company's commitment to financial strength and shareholder value. The company's ability to adapt to market conditions while maintaining a solid balance sheet and cash flow positions it favorably within the oil and gas industry.
Investors and stakeholders can expect APA Corp to continue leveraging its operational expertise and diversified asset portfolio to navigate the dynamic energy market and deliver sustained value.
For more detailed financial information and operational updates, please visit APA Corp's website or refer to the full earnings release and financial statements.
Explore the complete 8-K earnings release (here) from APA Corp for further details.
