APA Corp. raised its 2026 U.S. oil production forecast to 123,000 barrels per day from 122,000 while keeping planned domestic capital spending at $1.3 billion. The revision followed second-quarter oil production of nearly 123,500 b/d in the Permian Basin, about 2% above management’s estimate and broadly consistent with the prior year. APA holds 159,000 net acres in the Delaware Basin and 287,000 net acres in the Midland Basin.
Combined production from the Permian, Egypt and the North Sea totaled 410,000 barrels of oil equivalent per day, compared with approximately 465,000 boe/d a year earlier. The difference reflected natural gas and international volumes, including partner volumes in Egypt. Chief Executive John Christmann said improvements in drilling, completions and field operations are increasing reliability and supporting a goal of $3.5 million in monthly operating savings by year-end. Management believes its Permian inventory can sustain steady production for more than a decade.
APA also plans to maintain broadly stable production in the Permian and Egypt while investing $230 million this year in the GranMorgu development offshore Suriname, where first oil is targeted for 2028. The project is estimated to contain more than 750 million barrels, with APA’s net production expected to approach 40,000 b/d by 2029. APA reported second-quarter net income of $747 million on $2.4 billion in revenue, providing investors with additional context on its operating performance and future development program.
Source: Oil & Gas Journal
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