APC
$48.31
Anadarko Petroleum
$.16
.33%
Earnings Details
3rd Quarter September 2017
Tuesday, October 31, 2017 4:05:00 PM
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Summary

Anadarko Petroleum (APC) Recent Earnings

Anadarko Petroleum (APC) reported a 3rd Quarter September 2017 loss of $0.77 per share on revenue of $2.5 billion. The consensus estimate was a loss of $0.56 per share on revenue of $2.4 billion. Revenue grew 31.9% on a year-over-year basis.

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.

Results
Reported Earnings
($0.77)
Earnings Whisper
-
Consensus Estimate
($0.56)
Reported Revenue
$2.50 Bil
Revenue Estimate
$2.35 Bil
Growth
Earnings Growth
Revenue Growth
Power Rating
Grade
Earnings Release

Anadarko Announces Third-Quarter 2017 Results

Anadarko Petroleum Corporation (APC) today announced its third-quarter 2017 results, reporting a net loss attributable to common stockholders of $699 million, or $1.27 per share (diluted). These results include certain items typically excluded by the investment community in published estimates. In total, these items increased the net loss by $272 million, or $0.50 per share (diluted), on an after-tax basis.(1) Net cash provided by operating activities in the third quarter of 2017 was $639 million.

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RECENT HIGHLIGHTS

Announced a $2.5 billion share-repurchase program and entered into an accelerated share repurchase (ASR) agreement to execute upon the first $1.0 billion by year end

Achieved double-digit oil-volume growth over second-quarter 2017 in the Delaware Basin, DJ Basin and deepwater Gulf of Mexico assets

Improved oil production mix to 57 percent versus 42 percent in the third quarter of 2016, significantly improving margins per barrel

Entered into an agreement to sell the company’s Moxa asset in southwest Wyoming for approximately $350 million

Received clarity on the Ghana maritime boundary, enabling additional high-margin oil development, and completed the foundational Legal and Contractual Framework for the Mozambique LNG project

"I am very proud of the efforts exhibited by our people and the results achieved in the face of an unusually active hurricane season in the Gulf of Mexico and a continuing volatile commodity environment," said Al Walker, Anadarko Chairman, President and CEO. "We have made significant progress in shifting our production mix toward higher-value oil, which has improved our margins per barrel(2) by about 34 percent year over year. We expect to improve our margins further as we finalize the sale of our Moxa gas asset, continue focusing investments in our high-quality oil plays, and drive greater efficiencies into the system. Although we have adjusted our full-year sales-volume guidance to reflect the impacts of hurricanes Harvey, Irma and Nate, as well as the sale of our Moxa asset, we still expect to exit 2017 with production rates of approximately 150,000 barrels of oil per day combined from the Delaware and DJ basins, and more than 130,000 barrels of oil per day from the deepwater Gulf of Mexico.

"Looking to 2018, we will continue to demonstrate financial discipline as a foundational principle," added Walker. "We will remain focused on returns by continuing to allocate upstream capital toward the higher-margin assets in our portfolio, which should generate substantial free cash flow in a $50 oil-price environment, with total capital spending, including Anadarko midstream spending on infrastructure in the Delaware Basin, inside of discretionary cash flow from operations."

OPERATIONAL HIGHLIGHTS

Anadarko’s third-quarter 2017 sales volume of oil, natural gas and natural gas liquids (NGLs) totaled 58 million barrels of oil equivalent (BOE), or an average of 626,000 BOE per day.

In the Delaware Basin, Anadarko remains on track to achieve its expected exit rate of approximately 50,000 barrels of oil per day (BOPD). In the third quarter, the company achieved a new oil sales-volume record of 44,500 BOPD, while averaging 37,000 BOPD - a 13-percent increase over the second quarter of 2017. Anadarko averaged 16 rigs and six completions crews in the basin during the quarter, as it continued to focus on capturing operatorship over approximately 70 percent of its gross acreage position. Anadarko also made significant progress in applying its proven development model to the Delaware Basin, which includes building gathering and processing infrastructure to enable future growth and expanding takeaway capacity.

Anadarko also has a clear line of sight to reaching its expected exit rate of about 100,000 BOPD in the DJ Basin, where in the third quarter it achieved an oil production record of more than 90,000 BOPD, while averaging 83,000 BOPD, representing a 10-percent increase over the prior quarter. The company averaged six operated rigs and four completions crews in the basin during the quarter. The number of wells turned to sales increased by 70 percent versus the second-quarter 2017. The company continues to see strong results from its new completion design, which has been applied to more than 70 wells, the majority of which have been producing more than 150 days. These wells are demonstrating a cumulative oil uplift of more than 40 percent when compared to the previous design.

In the deepwater Gulf of Mexico, the company increased oil production by more than 10 percent relative to the second quarter of 2017, averaging 126,000 BOPD during the quarter. Production of approximately 840,000 BOE was deferred during the quarter as a result of hurricanes Harvey and Irma. The company’s hub-and-spoke infrastructure continues to deliver significant value with new tiebacks at Horn Mountain and Marlin. Anadarko also added new tieback opportunities as the apparent high bidder on 10 blocks in the most recent Gulf of Mexico lease sale.

International and Alaska sales volume averaged 102,000 barrels per day, slightly less than the prior quarter due to the timing of liftings in Algeria. The International Tribunal for the Law of the Sea (ITLOS) has defined the border between Ghana and C?te d’Ivoire, which enables continued development in the TEN field. In addition, the partnership received approval from the Ghanaian government for the Jubilee full-field plan of development earlier this month, with drilling operations expected to commence in 2018. Anadarko also is continuing to generate substantial momentum with its Mozambique LNG project, having finalized the "marine concession" agreements with the Government of Mozambique during the quarter. These agreements marked the completion of the foundational Legal and Contractual Framework. Subsequent to quarter end, Anadarko also reached a 20-year Sale and Purchase Agreement (SPA) for 2.6 million tonnes of LNG per annum with PTT Public Company Limited of Thailand. The SPA is pending approval by the Government of Thailand.

OPERATIONS REPORT

For additional details on Anadarko’s third-quarter 2017 operations and exploration program, please refer to the comprehensive Operations Report available at www.anadarko.com.

FINANCIAL SUMMARY

Anadarko ended the third quarter of 2017 with $5.25 billion of cash on hand. In September, the company announced a $2.5 billion share-repurchase program, which is authorized to extend through the end of 2018. Subsequently, Anadarko entered into an ASR agreement to complete the repurchase of $1.0 billion of shares prior to the end of 2017. In October, Anadarko entered into a definitive agreement to sell its Moxa asset in southwest Wyoming for approximately $350 million.

CONFERENCE CALL TOMORROW AT 8:00 A.M. CDT, 9:00 A.M. EDT

Anadarko will host a conference call on Wednesday, Nov. 1, 2017, at 8 a.m. Central (9 a.m. Eastern) to discuss third-quarter results. The dial-in number is 877.883.0383 in the U.S. or 412.902.6506 internationally. The confirmation number is 2812178. For complete instructions on how to participate in the conference call, or to listen to the live audio webcast and slide presentation, please visit www.anadarko.com. A replay of the call will be available on the website for approximately 30 days following the conference call.

FINANCIAL DATA

Ten pages of summary financial data follow, including current hedge positions, a reconciliation of "divestiture-adjusted" or "same-store" sales, and updated financial and production guidance.

(1) See the accompanying table for details of certain items affecting comparability.
(2) See the accompanying Adjusted EBITDAX (Margin) table for a reconciliation of GAAP to the non-GAAP financial measure and a statement indicating why management believes the non-GAAP financial measure provides useful information for investors.

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Anadarko Petroleum Corporation’s mission is to deliver a competitive and sustainable rate of return to shareholders by exploring for, acquiring and developing oil and natural gas resources vital to the world’s health and welfare. As of year-end 2016, the company had 1.72 billion barrels-equivalent of proved reserves, making it one of the world’s largest independent exploration and production companies. For more information about Anadarko and APC Flash Feed updates, please visit www.anadarko.com.

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Anadarko believes that its expectations are based on reasonable assumptions. No assurance, however, can be given that such expectations will prove to have been correct. A number of factors could cause actual results to differ materially from the projections, anticipated results or other expectations expressed in this news release, including Anadarko’s ability to realize its expectations regarding performance; to successfully execute upon its capital program; to efficiently identify and deploy capital resources; to finalize the capital program for 2018; to meet financial and operating guidance and achieve the production levels identified in this news release; to meet the long-term goals identified in this news release; to consummate the transactions described in this release; to successfully complete the share-repurchase program; to successfully drill, complete, test and produce the wells identified in this news release; to timely complete and commercially operate the projects, infrastructure and drilling prospects identified in this news release; to finalize the necessary steps to ensure operatorship; and to successfully plan, secure additional government approvals, enter into long-term sales contracts, finance, build, and operate the necessary infrastructure and LNG park in Mozambique. See "Risk Factors" in the company’s 2016 Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and other public filings and press releases. Anadarko undertakes no obligation to publicly update or revise any forward-looking statements.

Anadarko Contacts

MEDIA: John Christiansen, john.christiansen@anadarko.com, 832.636.8736 Stephanie Moreland, stephanie.moreland@anadarko.com, 832.636.2912

INVESTORS: Robin Fielder, robin.fielder@anadarko.com, 832.636.1462 Andy Taylor, andy.taylor@anadarko.com, 832.636.3089 Pete Zagrzecki, pete.zagrzecki@anadarko.com, 832.636.7727

Anadarko Petroleum Corporation
Reconciliation of GAAP to Non-GAAP Financial Measures
Below are reconciliations of certain GAAP to non-GAAP financial measures, each as required under Regulation G of the Securities Exchange Act of 1934. This non-GAAP information should be considered by the reader in addition to, but not instead of, the financial statements prepared in accordance with GAAP. The non-GAAP financial information presented may be determined or calculated differently by other companies and may not be comparable to similarly titled measures.
Management uses adjusted net income (loss) to evaluate operating and financial performance and believes the measure is useful to investors because it eliminates the impact of certain noncash and/or other items that management does not consider to be indicative of the Company’s performance from period to period. Management also believes this non-GAAP measure is useful to investors to evaluate and compare the Company’s operating and financial performance across periods, as well as facilitating comparisons to others in the Company’s industry.
Quarter Ended September 30, 2017
Before
After
Per Share
millions except per-share amounts
Tax
Tax
(diluted)
Net income (loss) attributable to common stockholders (GAAP)
$
(699)
$
(1.27)
Adjustments for certain items affecting comparability
Total gains (losses) on derivatives, net, less net cash from settlement of commodity derivatives*
$
(98)
(62)
(0.11)
Gains (losses) on divestitures, net
(194)
(123)
(0.23)
Impairments - exploration assets
(106)
(82)
(0.15)
Change in uncertain tax positions
(5)
(0.01)
Certain items affecting comparability
$
(398)
(272)
(0.50)
Adjusted net income (loss) (Non-GAAP)
$
(427)
$
(0.77)
* Includes $(39) million related to interest-rate derivatives and $(59) million related to commodity derivatives.
Quarter Ended September 30, 2016
Before
After
Per Share
millions except per-share amounts
Tax
Tax
(diluted)
Net income (loss) attributable to common stockholders (GAAP)
$
(830)
$
(1.61)
Adjustments for certain items affecting comparability
Total gains (losses) on derivatives, net, less net cash from settlement of commodity derivatives*
$
(88)
(56)
(0.11)
Gains (losses) on divestitures, net
(414)
(261)
(0.51)
Impairments - producing properties
(27)
(17)
(0.03)
Restructuring charges
(112)
(71)
(0.14)
Tax indemnification
39
25
0.05
Change in uncertain tax positions
--
9
0.02
Certain items affecting comparability
$
(602)
(371)
(0.72)
Adjusted net income (loss) (Non-GAAP)
$
(459)
$
(0.89)
* Includes $(84) million related to interest-rate derivatives and $(4) million related to commodity derivatives.
Anadarko Petroleum Corporation
Reconciliation of GAAP to Non-GAAP Measures
Management believes that the presentation of Adjusted EBITDAX (Margin) provides information useful in assessing the Company’s operating and financial performance across periods.
Quarter Ended
September 30,
millions
2017
2016
Net income (loss) attributable to common stockholders (GAAP)
$
(699)
$
(830)
Interest expense
230
220
Income tax expense (benefit)
(425)
(260)
DD&A
1,083
1,069
Exploration expense
751
304
(Gains) losses on divestitures, net
194
414
Impairments
--
27
Total (gains) losses on derivatives, net, less net cash from settlement of commodity derivatives 98
88
Restructuring charges
3
112
Consolidated Adjusted EBITDAX (Margin) (Non-GAAP)
$
1,235
$
1,144
Total barrels of oil equivalent (BOE)
58
72
Consolidated Adjusted EBITDAX (Margin) per BOE
$
21.29
$
15.89

Management uses net debt to determine the Company’s outstanding debt obligations that would not be readily satisfied by its cash and cash equivalents on hand. Management believes that using net debt in the capitalization ratio is useful to investors in determining the Company’s leverage since the Company could choose to use its cash and cash equivalents to retire debt. In addition, management believes that presenting Anadarko’s net debt excluding WGP is useful because WGP is a separate public company with its own capital structure.

September 30, 2017
Anadarko
Anadarko
WGP*
excluding
millions
Consolidated
Consolidated
WGP
Total debt (GAAP)
$
15,573
$
3,372
$
12,201
Less cash and cash equivalents
5,251
153
5,098
Net debt (Non-GAAP)
$
10,322
$
3,219
$
7,103
Anadarko
Anadarko
excluding
millions
Consolidated
WGP
Net debt
$
10,322
$
7,103
Total equity
13,922
10,782
Adjusted capitalization
$
24,244
$
17,885
Net debt to adjusted capitalization ratio
43%
40%
* Western Gas Equity Partners, LP (WGP) is a publicly traded consolidated subsidiary of Anadarko, and Western Gas Partners, LP (WES) is a consolidated subsidiary of WGP.
Anadarko Petroleum Corporation
Cash Flow Information
(Unaudited)
Quarter Ended
Nine Months Ended
September 30,
September 30,
millions
2017
2016
2017
2016
Cash Flows from Operating Activities
Net income (loss)
$
(641)
$
(747)
$
(1,250)
$
(2,356)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities
Depreciation, depletion, and amortization
1,083
1,069
3,235
3,202
Deferred income taxes
(854)
(301)
(1,026)
(1,121)
Dry hole expense and impairments of unproved properties
678
255
2,144
300
Impairments
--
27
383
61
(Gains) losses on divestitures, net
194
414
(815)
516
Loss on early extinguishment of debt
--
--
2
124
Total (gains) losses on derivatives, net
82
24
(33)
634
Operating portion of net cash received (paid) in settlement of derivative instruments
16
64
21
229
Other
68
53
225
256
Changes in assets and liabilities
13
(73)
(267)
32
Net Cash Provided by (Used in) Operating Activities*
$
639
$
785
$
2,619
$
1,877
Net Cash Provided by (Used in) Investing Activities
$
(1,242)
$
(291)
$
(26)
$
(1,256)
Net Cash Provided by (Used in) Financing Activities
$
(155)
$
2,092
$
(527)
$
2,421
Capital Expenditures
Exploration and production and other
$
976
$
586
$
2,877
$
1,921
Midstream - Anadarko**
131
16
258
45
Midstream - WES
224
95
661
355
Total
1,331
697
3,796
2,321
*
Restructuring charges (excluding noncash share-based compensation) were $3 million for the quarter ended September 30, 2017, $110 million for the quarter ended September 30, 2016, $20 million for the nine months ended September 30, 2017, and $334 million for the nine months ended September 30, 2016. Cash payments for restructuring charges were $2 million for the quarter ended September 30, 2017, $35 million for the quarter ended September 30, 2016, $52 million for the nine months ended September 30, 2017, and $217 million for the nine months ended September 30, 2016.
** Excludes Western Gas Partners, LP (WES).
Anadarko Petroleum Corporation
(Unaudited)
Quarter Ended
Nine Months Ended
Summary Financial Information
September 30,
September 30,
millions except per-share amounts
2017
2016
2017
2016
Consolidated Statements of Income
Revenues and Other
Oil sales
$
1,567
$
1,239
$
4,652
$
3,214
Natural-gas sales
269
435
1,090
1,121
Natural-gas liquids sales
265
227
768
640
Gathering, processing, and marketing sales
509
350
1,417
895
Gains (losses) on divestitures and other, net
(114)
(358)
1,052
(388)
Total
2,496
1,893
8,979
5,482
Costs and Expenses
Oil and gas operating
257
198
748
608
Oil and gas transportation
220
256
698
744
Exploration
751
304
2,371
506
Gathering, processing, and marketing
398
291
1,108
758
General and administrative
280
362
840
1,116
Depreciation, depletion, and amortization
1,083
1,069
3,235
3,202
Production, property, and other taxes
159
148
449
422
Impairments
--
27
383
61
Other operating expense
123
31
157
54
Total
3,271
2,686
9,989
7,471
Operating Income (Loss)
(775)
(793)
(1,010)
(1,989)
Other (Income) Expense
Interest expense
230
220
680
657
Loss on early extinguishment of debt
--
--
2
124
(Gains) losses on derivatives, net
82
25
(33)
629
Other (income) expense, net
(21)
(31)
(43)
(86)
Total
291
214
606
1,324
Income (Loss) Before Income Taxes
(1,066)
(1,007)
(1,616)
(3,313)
Income tax expense (benefit)
(425)
(260)
(366)
(957)
Net Income (Loss)
(641)
(747)
(1,250)
(2,356)
Net income (loss) attributable to noncontrolling interests
58
83
182
200
Net Income (Loss) Attributable to Common Stockholders
$
(699)
$
(830)
$
(1,432)
$
(2,556)
Per Common Share
Net income (loss) attributable to common stockholders--basic
$
(1.27)
$
(1.61)
$
(2.60)
$
(5.00)
Net income (loss) attributable to common stockholders--diluted
$
(1.27)
$
(1.61)
$
(2.61)
$
(5.00)
Average Number of Common Shares Outstanding--Basic
553
517
552
512
Average Number of Common Shares Outstanding--Diluted
553
517
552
512
Exploration Expense
Dry hole expense
$
565
$
203
$
1,408
$
209
Impairments of unproved properties
113
52
736
91
Geological and geophysical, exploration overhead, and other expense 73
49
227
206
Total
751
304
2,371
506
Anadarko Petroleum Corporation
(Unaudited)
September 30, December 31,
millions
2017
2016
Condensed Balance Sheets
Cash and cash equivalents
$
5,251
$
3,184
Accounts receivable, net of allowance
1,882
1,728
Other current assets
340
354
Net properties and equipment
27,832
32,168
Other assets
2,152
2,226
Goodwill and other intangible assets
5,671
5,904
Total Assets
$
43,128
$
45,564
Short-term debt
149
42
Other current liabilities
3,534
3,286
Long-term debt
15,424
15,281
Deferred income taxes
3,378
4,324
Asset retirement obligations
2,747
2,802
Other long-term liabilities
3,974
4,332
Common stock
57
57
Paid-in capital
11,972
11,875
Retained earnings
160
1,704
Treasury stock
(1,070)
(1,033)
Accumulated other comprehensive income (loss)
(337)
(391)
Total stockholders’ equity
10,782
12,212
Noncontrolling interests
3,140
3,285
Total Equity
13,922
15,497
Total Liabilities and Equity
$
43,128
$
45,564
Capitalization
Total debt
$
15,573
$
15,323
Total equity
13,922
15,497
Total
$
29,495
$
30,820
Capitalization Ratios
Total debt
53%
50%
Total equity
47%
50%
Anadarko Petroleum Corporation
(Unaudited)
Sales Volumes and Prices
Average Daily Sales Volumes
Sales Volumes
Average Sales Price
Oil
Natural Gas
NGLs
Oil
Natural Gas
NGLs
Oil
Natural Gas
NGLs
MBbls/d MMcf/d
MBbls/d
MMBbls
Bcf
MMBbls
Per Bbl
Per Mcf
Per Bbl
Quarter Ended September 30, 2017
United States
266
1,086
88
25
100
9
$
46.89
$
2.69
$
31.07
Algeria
60
--
4
6
--
--
52.91
--
32.98
Other International
27
--
--
2
--
--
51.95
--
--
Total
353
1,086
92
33
100
9
$
48.31
$
2.69
$
31.15
Quarter Ended September 30, 2016
United States
233
2,003
122
22
184
11
$
41.29
$
2.36
$
18.87
Algeria
65
--
7
7
--
--
45.88
--
23.74
Other International
19
--
--
1
--
--
45.61
--
--
Total
317
2,003
129
30
184
11
$
42.49
$
2.36
$
19.13
Nine Months Ended September 30, 2017
United States
259
1,392
96
71
380
27
$
47.63
$
2.87
$
27.43
Algeria
63
--
5
18
--
1
51.54
--
34.02
Other International
28
--
--
7
--
--
51.70
--
--
Total
350
1,392
101
96
380
28
$
48.66
$
2.87
$
27.77
Nine Months Ended September 30, 2016
United States
230
2,164
124
63
593
34
$
36.52
$
1.89
$
17.78
Algeria
63
--
6
18
--
1
42.27
--
23.55
Other International
16
--
--
4
--
--
40.80
--
--
Total
309
2,164
130
85
593
35
$
37.91
$
1.89
$
18.04
Average Daily Sales Volumes
Sales Volumes
MBOE/d
MMBOE
Quarter Ended September 30, 2017
626
58
Quarter Ended September 30, 2016
780
72
Nine Months Ended September 30, 2017 683
187
Nine Months Ended September 30, 2016 800
219
Sales Revenue and Commodity Derivatives
Sales
Net Cash Received (Paid) from Settlement of Commodity
Derivatives
millions
Oil
Natural Gas NGLs
Oil
Natural Gas NGLs
Quarter Ended September 30, 2017
United States
$
1,145
$
269
$
253
$
12
$
4
$
--
Algeria
291
--
12
--
--
--
Other International
131
--
--
--
--
--
Total
$
1,567
$
269
$
265
$
12
$
4
$
--
Quarter Ended September 30, 2016
United States
$
884
$
435
$
212
$
66
$
(2)
$
(1)
Algeria
276
--
15
--
--
--
Other International
79
--
--
--
--
--
Total
$
1,239
$
435
$
227
$
66
$
(2)
$
(1)
Nine Months Ended September 30, 2017
United States
$
3,368
$
1,090
$
720
$
27
$
(1)
$
(3)
Algeria
885
--
48
--
--
--
Other International
399
--
--
--
--
--
Total
$
4,652
$
1,090
$
768
$
27
$
(1)
$
(3)
Nine Months Ended September 30, 2016
United States
$
2,305
$
1,121
$
602
$
214
$
13
$
(1)
Algeria
734
--
38
--
--
--
Other International
175
--
--
--
--
--
Total
$
3,214
$
1,121
$
640
$
214
$
13
$
(1)
Anadarko Petroleum Corporation
Financial and Operating External Guidance
As of October 31, 2017
Note: Guidance excludes 2017 sales volumes associated with the Eagleford, Marcellus, West Chalk/Eaglebine, Utah CBM and Moxa divestitures.
4th-Qtr
Full-Year
Guidance (see Note)
Guidance (see Note)
Units
Units
Total Sales Volumes (MMBOE)
56
--
58
224
--
228
Total Sales Volumes (MBOE/d)
609
--
630
614
--
625
Oil (MBbl/d)
357
--
364
343
--
348
United States
279
--
283
257
--
260
Algeria
51
--
53
59
--
60
Ghana
27
--
28
27
--
28
Natural Gas (MMcf/d)
United States
1,000
--
1,035
1,065
--
1,085
Natural Gas Liquids (MBbl/d)
United States
84
--
88
87
--
90
Algeria
2
--
4
5
--
6
$ / Unit
$ / Unit
Price Differentials vs NYMEX (w/o hedges)
Oil ($/Bbl)
(1.50)
--
2.50
(2.75)
--
1.25
United States
(2.00)
--
2.00
(3.00)
--
1.00
Algeria
--
--
4.00
(2.00)
--
2.00
Ghana
--
--
4.00
(2.00)
--
2.00
Natural Gas ($/Mcf)
United States
(0.40)
--
(0.20)
(0.35)
--
0.25
Anadarko Petroleum Corporation
Financial and Operating External Guidance
As of October 31, 2017
Note: Guidance excludes items affecting comparability.
4th-Qtr
Full-Year
Guidance (see Note) Guidance (see Note)
$ MM
$ MM
Other Revenues
Marketing and Gathering Margin
100
--
110
410
--
420
Minerals and Other
45
--
65
280
--
300
$ / BOE
$ / BOE
Costs and Expenses
Oil & Gas Direct Operating
4.40
--
4.65
3.95
--
4.30
Oil & Gas Transportation
3.50
--
3.70
3.60
--
3.80
Depreciation, Depletion, and Amortization
19.00
--
19.20
17.75
--
17.85
Production Taxes (% of Product Revenue)
6.0%
--
7.0%
6.0%
--
7.0%
$ MM
$ MM
General and Administrative
240
--
260
1,060
--
1,080
Other Operating Expense
30
--
50
185
--
205
Exploration Expense
Non-Cash
10
--
40
1,445
--
1,475
Cash
65
--
85
280
--
300
Interest Expense (net)
220
--
235
900
--
915
Other (Income) Expense
(25)
--
(15)
(65)
--
(55)
Taxes
Algeria
(100% Current)
60%
--
70%
60%
--
70%
Rest of Company
(60% Current/40% Deferred for Q4 and (50)% Current/150% Deferred for Total Year)
30%
--
40%
30%
--
40%
Noncontrolling Interest
50
--
60
230
--
240
Avg. Shares Outstanding (MM)
Basic
534
--
538
548
--
549
Diluted
534
--
538
548
--
549
Capital Investment (Excluding Western Gas Partners, LP)
$ MM
$ MM
APC Capital Expenditures
1,065
--
1,265
4,200
--
4,400
Anadarko Petroleum Corporation
Commodity Hedge Positions
As of October 31, 2017
Weighted Average Price per barrel
Volume
Floor Sold
Floor Purchased
Ceiling Sold
(MBbls/d)
Oil
Three-Way Collars
2017
WTI
68
$
40.00
$ 50.00
$ 58.84
Brent
23
$
40.00
$ 50.00
$ 62.64
91
$
40.00
$ 50.00
$ 59.80
Volume
Weighted Average Price per MMBtu
(thousand
MMBtu/d)
Floor Sold
Floor Purchased
Ceiling Sold
Natural Gas
Three-Way Collars
2017
857
$
2.10
$ 2.85
$ 3.64
2018
250
$
2.00
$ 2.75
$ 3.54
Interest-Rate Derivatives
As of October 31, 2017
Instrument Notional Amt. Reference Period
Mandatory
Rate Paid Rate Received
Termination Date
Swap
$550 Million
Sept. 2016 - 2046 Sept. 2020
6.418%
3M LIBOR
Swap
$250 Million
Sept. 2016 - 2046 Sept. 2022
6.809%
3M LIBOR
Swap
$200 Million
Sept. 2017 - 2047 Sept. 2018
6.049%
3M LIBOR
Swap
$100 Million
Sept. 2017 - 2047 Sept. 2020
6.891%
3M LIBOR
Swap
$250 Million
Sept. 2017 - 2047 Sept. 2021
6.570%
3M LIBOR
Swap
$250 Million
Sept. 2017 - 2047 Sept. 2023
6.761%
3M LIBOR
Anadarko Petroleum Corporation
Reconciliation of Same-Store Sales
Average Daily Sales Volumes
Quarter Ended September 30, 2017
Quarter Ended September 30, 2016
Oil
Natural Gas
NGLs
Total
Oil
Natural Gas
NGLs
Total
MBbls/d
MMcf/d
MBbls/d
MBOE/d
MBbls/d
MMcf/d
MBbls/d
MBOE/d
U.S. Onshore
129
980
78
370
126
1,034
78
376
Gulf of Mexico
126
106
10
154
65
77
6
84
International and Alaska 98
--
4
102
93
--
7
100
Same-Store Sales
353
1,086
92
626
284
1,111
91
560
Divestitures*
--
--
--
--
33
892
38
220
Total
353
1,086
92
626
317
2,003
129
780
Nine Months Ended September 30, 2017
Nine Months Ended September 30, 2016
Oil
Natural Gas
NGLs
Total
Oil
Natural Gas
NGLs
Total
MBbls/d
MMcf/d
MBbls/d
MBOE/d
MBbls/d
MMcf/d
MBbls/d
MBOE/d
U.S. Onshore
120
1,042
81
374
124
1,074
76
379
Gulf of Mexico
121
118
10
151
59
78
6
78
International and Alaska 102
--
5
107
89
--
6
95
Same-Store Sales
343
1,160
96
632
272
1,152
88
552
Divestitures*
7
232
5
51
37
1,012
42
248
Total
350
1,392
101
683
309
2,164
130
800
* Includes Eagleford, Marcellus, Eaglebine, Utah CBM, East Chalk, Wamsutter, Ozona, Elm Grove, Hugoton, Hearne, and Carthage.

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SOURCE Anadarko Petroleum Corporation

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