This reportAnnual Report on Form 10-K includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended (the Securities Act), and Section 21E of the Securities Exchange Act of 1934, as amended (the Exchange Act). All statements other than statements of historical facts included or incorporated by reference in this report,Annual Report on Form 10-K, including, without limitation, statements regarding the Company’s future financial position, business strategy, budgets, projected revenues, projected costs, and plans and objectives of management for future operations, are forward-looking statements. Such forward-looking statements are based on the Company’s examination of historical operating trends, the information that was used to prepare its estimate of proved reserves as of December 31, 2020,2023, and other data in the Company’s possession or available from third parties. In addition, forward-looking statements generally can be identified by the use of forward-looking terminology such as “may,” “will,” “could,” “expect,” “intend,” “project,” “estimate,” “anticipate,” “plan,” “believe,” “continue,” “seek,” “guidance,” “goal,” “might,” “outlook,” “possibly,” “potential,” “prospect,” “should,” “would,” or similar terminology, but the absence of these words does not mean that a statement is not forward looking. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable under the circumstances, it can give no assurance that such expectations will prove to have been correct. Important factors that could cause actual results to differ materially from the Company’s expectations include, but are not limited to, its assumptions about:

Other factors or events that could cause the Company’s actual results to differ materially from the Company’s expectations may emerge from time to time, and it is not possible for the Company to predict all such factors or events. All subsequent written orand oral forward-looking statements attributable to the Company, or persons acting on its behalf, are expressly qualified in their entirety by the cautionary statements. All forward-looking statements speak only as of the date of this Annual Report on Form 10-K. Except as required by law, the Company disclaims any obligation to update or revise these statements, whether based on changes in internal estimates or expectations, new information, future developments, or otherwise.

All defined terms under Rule 4-10(a) of Regulation S-X shall have their statutorily prescribed meanings when used in this Annual Report on Form 10-K. As used in herein:

With respect to information relating to ourthe Company’s working interest in wells or acreage, “net” oil and gas wells or acreage is determined by multiplying gross wells or acreage by ourthe Company’s working interest therein. Unless otherwise specified, all references to wells and acres are gross.

Apache Corporation, a Delaware corporation formed in 1954,direct, wholly owned subsidiary of APA Corporation (APA), is an independent energy company that explores for, develops, and produces natural gas, crude oil, and NGLs. The Company’s upstream business currently has explorationoil and productiongas operations in three geographic areas: the U.S., Egypt, and offshore the U.K. in the North Sea (North Sea). Apache also has active exploration and planned appraisal operations ongoing in Suriname, as well as interests in other international locations that may, over time, result in reportable discoveries and development opportunities. Apache’sPrior to the BCP Business Combination (as defined below), the Company’s midstream business iswas operated by Altus Midstream Company (Nasdaq: ALTM)(ALTM) through its subsidiary Altus Midstream LP (collectively, Altus). Altus owns, develops, and operates a midstream energy asset network in the Permian Basin of West Texas.

Certain properties referred to herein may beare held by subsidiaries of Apache Corporation.

The following business overview further describes the operations and activities for the Company’s upstream exploration and production properties, by geographic region, and Altus Midstream.region.

ApacheApache’s upstream business has explorationoil and productiongas operations in three geographic areas: the U.S., Egypt, and offshore the U.K. in the North Sea. Apache also has active exploration and planned appraisal operations ongoing in Suriname, as well as interests in other international locations that may, over time, result in reportable discoveries and development opportunities. During 2020, as a result of the Company’s organizational redesign, Apache shifted from a region-based structure to a centralized structure focused on core asset groups and functions in each country.

The following table sets out a brief comparative summary of certain key 20202023 data for each of Apache’s operating areas. Additional data and discussion are provided in Part II, Item 7—Management’s Discussion and Analysis of Financial Condition and Results of Operations of this Annual Report on Form 10-K.

In 2020,2023, Apache’s U.S. upstream oil and gas operations contributed approximately 5851 percent of production, 38 percent of oil and 67gas revenues, and 69 percent of estimated year-end proved reserves. Apache has access to significant liquid hydrocarbons across its 4.93.4 million gross acres (2.5(1.7 million net acres) in the U.S., 7874 percent of which are undeveloped.

The Company’s U.S. assets are primarily located in the Permian Basin in West Texas and New Mexico, including the Permian sub-basins: Midland Basin, Central Basin Platform/Northwest Shelf, and Delaware Basin. Examples of shale plays being developed within these sub-basins include the Woodford, Barnett, Pennsylvanian, Cline, Wolfcamp, Bone Spring, and Spraberry. Apache is one of the largest operators in the Permian Basin, operating more than 7,000approximately 5,000 gross oil and gas wells across its acreage, with additional interests in over 4,000less than 3,000 non-operated wells. Approximately six percent of the Company’s net acreage position in the Permian Basin is on federal onshore lands. Apache also has operations located in the Eagle Ford shale and Austin Chalk areas of Southeast Texas, offshore in the Gulf of Mexico, and along the Gulf of Mexico,Coast in the areas onshore and offshore southSouth Texas and Louisiana.

Highlights of the Company’s operations in the U.S. include:

Apache primarily markets its U.S. crude oil production to integrated major oil companies, marketing and transportation companies, and refiners based on West Texas Intermediate (WTI) pricing indices (e.g., WTI Houston, West Texas Sour (WTS), WTI Midland, or WTIWest Texas Light (WTL) Midland) and some predominately Brent related international pricing indices, adjusted for quality, transportation, and a market-reflective differential. Apache’s objective is to maximize the value of crude oil sold by identifying the best markets and most economical transportation routes available to move the product. Sales contracts are generally 30-day evergreen contracts that renew automatically until canceled by either party. These contracts provide for sales that are priced daily at prevailing market prices. Also, from time to time, the Company will enter into physical term sales contracts. These term contracts typically have a firm transportation commitment and often provide an opportunity for higher than prevailing market prices.

Apache’s U.S. NGL production is sold under contracts with prices based on Gulf Coast supply and demand conditions, less the costs for transportation and fractionation, or on a weighted-average sales price received by the purchaser.

Apache currently expects to fulfill its delivery commitments with production from its proved reserves, production from continued development, and/or spot market purchases as necessary.third-party purchases. Apache may also enter into contractual arrangements to reduce its delivery commitments. The Company has not experienced any significant constraints in satisfying the committed quantities required by its delivery commitments.

For more information regarding the Company’s commitments, please see Part II, Item 7—Management’s Discussion and Analysis of Financial Condition and Results of Operations—Capital Resources and Liquidity—Contractual Obligations of this Annual Report on Form 10-K.

In 2020,2023, international assets contributed 4249 percent of Apache’s production and 5662 percent of its oil and gas revenues. Approximately 3331 percent of estimated proved reserves at year-end 2023 were located outside the U.S.

Apache has two international locations with ongoing development and production operations:

Apache’s Egypt operations are conducted pursuant to production sharingproduction-sharing contracts (PSCs). Under the terms of the Company’s PSCs, the Company is the contractor partner (Contractor) with EGPC and bears the risk and cost of exploration, development, and production activities. In return, if exploration is successful, the Contractor receives entitlement to variable physical volumes of hydrocarbons, representing recovery of the costs incurred and a stipulated share of production after cost recovery. Additionally, the Contractor’s income taxes, which remain the liability of the Contractor under domestic law, are paid by Egyptian General Petroleum Corporation (EGPC)EGPC on behalf of the Contractor out of EGPC’s production entitlement. Income taxes paid to the Arab Republic of Egypt on behalf of the Contractor are recognized as oil and gas sales revenue and income tax expense and are reflected as production and estimated reserves. Because Contractor cost recovery entitlement and income taxes paid on its behalf are determined as a monetary amount, the quantities of production entitlement and estimated reserves attributable to these monetary amounts will fluctuate with commodity prices. In addition, because the Contractor income taxes are paid by EGPC, the amount of the income tax has no economic impact on Apache’s Egypt operations despite impacting Apache’s production and reserves.

The Company’s estimated proved reserves in Egypt are reported under the economic interest method and exclude the host country’s share of reserves. In addition, Sinopec International Petroleum Exploration and Production Corporation (Sinopec) holds a one-third minority participation interest in Apache’s oil and gas operations in Egypt. Apache’s Egypt assets, including the one-thirdAPA and Sinopec’s noncontrolling interest,interests, contributed 2837 percent of 20202023 production and 2022 percent of 2023 year-end estimated proved reserves. Excluding the impacts of theAPA and Sinopec’s noncontrolling interest,interests, Egypt contributed 2016 percent of 20202023 production and 1513 percent of 2023 year-end estimated proved reserves.

In 2020,2023, the Company drilled 3675 gross development and 2548 gross exploration wells in Egypt. A key component of the Company’s success has been the ability to acquire and evaluate 3-D seismic surveys that enable Apache’s technical teams to consistently high-grade existing prospects and identify new targets across multiple pay horizons in the Cretaceous, Jurassic, and deeper Paleozoic formations. The Company has completed seismic surveys covering over 3three million acres, which has led to date and continues torecent discoveries that build and enhance itsthe Company’s drilling inventory in Egypt, supplemented with recent seismic acquisitions and new play concept evaluations, on both new and existing acreage.

Apache entered the North Sea in 2003 after acquiring an approximate 97 percent working interest in the Forties field (Forties). Since acquiring Forties, Apache has actively invested in the assets and has established a large inventory of drilling prospects through successful exploration programs and the interpretation of 4-D seismic. Building upon its success in Forties, inIn 2011, Apache acquired Mobil North Sea Limited, providing the Company with additional exploration and development opportunities in the North Sea across numerous fields, includingwhich included operated interests in the Beryl, Ness, Nevis, Nevis South, Skene, and Buckland fields and a non-operated interest in the Maclure field. Apache also has a non-operated interest in the Nelson field acquired in 2011. The Beryl field, which is a geologically complex area with multiple fields and stacked pay potential, provides for significant exploration opportunity. The North Sea assets plays a strategic role in Apache’s portfolio by providing competitiveDuring the second quarter of 2023, as part of the Company’s focus on capital allocation to optimize investment opportunities and potential reserve upside with high-impact exploration potential, near existing infrastructure.

Apache’s North Sea crude oil production is sold under term, entitlement volume contracts and spot variable volume contracts with a market-based index price plus a differential to capture the higher market value under each type of arrangement. Natural gas from the Beryl field is processed through the Scottish Area Gas Evacuation (SAGE) gas plant, operated by Ancala Midstream Acquisitions Limited. Natural gas is sold to a third party at the St. Fergus entry point of the national grid on a National Balancing Point index price basis. The condensate mix from the SAGE plant is processed further downstream. The split streams of propane, butane, and condensate are sold separately on a monthly entitlement basis at the Braefoot Bay terminal using index pricing less transportation.

The number of productive oil and gas wells, operated and non-operated, in which the Company had an interest as of December 31, 2020,2023, is set forth below:

Gross natural gas and crude oil wells include 558included 457 wells with multiple completions.

The following table describes, for each of the last three fiscal years, oil, NGL, and gas production volumes, average lease operating costs per boe (including transportation costs but excluding severance and other taxes), and average sales prices for each of the countries where the Company has operations:

The following table summarizes the Company’s gross and net acreage position by geographic area as of December 31, 2020:2023:

As of December 31, 2020, approximately 46 percent of U.S. net undeveloped acreage was held by production.

As of December 31, 2023, approximately 98 percent of U.S. net undeveloped acreage extensions and access to new concessions in areas in which it believes exploration opportunities exist.was held by production or owned as undeveloped mineral rights.

Proved oil and gas reserves are those quantities of natural gas, crude oil, condensate, and NGLs, which by analysis of geoscience and engineering data, can be estimated with reasonable certainty to be economically producible from a given date forward, from known reservoirs, and under existing economic conditions, operating methods, and government regulations. Estimated proved developed oil and gas reserves can be expected to be recovered through existing wells with existing equipment and operating methods. The Company reports all estimated proved reserves held under production-sharing arrangements utilizing the “economic interest” method, which excludes the host country’s share of reserves.

Estimated reserves that can be produced economically through application of improved recovery techniques are included in the “proved” classification when successful testing by a pilot project or the operation of an active, improved recovery program using reliable technology establishes the reasonable certainty for the engineering analysis on which the project or program is based. Economically producible means a resource that generates revenue that exceeds, or is reasonably expected to exceed, the costs of the operation. Reasonable certainty means a high degree of confidence that the quantities will be recovered. Reliable technology is a grouping of one or more technologies (including computational methods) that has been field-tested and has been demonstrated to provide reasonably certain results with consistency and repeatability in the formation being evaluated or in an analogous formation. In estimating its proved reserves, Apache uses several different traditional methods that can be classified in three general categories: (1) performance-based methods; (2) volumetric-based methods; and (3) analogy with similar properties. Apache will, at times, utilize additional technical analysis, such as computer reservoir models, petrophysical techniques, and proprietary 3-D seismic interpretation methods, to provide additional support for more complex reservoirs. Information from this additional analysis is combined with traditional methods outlined above to enhance the certainty of the Company’s reserve estimates.

Proved undeveloped reserves include those reserves that are expected to be recovered from new wells on undrilled acreage, or from existing wells where a relatively major expenditure is required for recompletion. Undeveloped reserves may be classified as proved reserves on undrilled acreage directly offsetting development areas that are reasonably certain of production when drilled, or where reliable technology provides reasonable certainty of economic producibility. Undrilled locations may be classified as having undeveloped reserves only if a development plan has been adopted indicating that they are scheduled to be drilled within five years, unless specific circumstances justify a longer time period.

The following table shows proved oil, NGL, and gas reserves as of December 31, 2020,2023, based on average commodity prices in effect on the first day of each month in 2020,2023, held flat for the life of the production, except where future oil and gas sales are covered by physical contract terms. The total column of this table shows reserves on a boe basis in which natural gas is converted to an equivalent barrel of oil based on a ratio of 6 Mcf to 1 bbl. This ratio is not reflective of the current price ratio between the two products.

As of December 31, 2020,2023, Apache had total estimated proved reserves of 434365 MMbbls of crude oil, 169164 MMbbls of NGLs, and 1.61.5 Tcf of natural gas. Combined, these total estimated proved reserves are the volume equivalent of 874773 million barrels of oil or 5.2 Tcf of natural gas,boe, of which oil represents 50liquids represent approximately 68 percent. As of December 31, 2020,2023, the Company’s proved developed reserves totaled 798707 MMboe and estimated PUDproved undeveloped (PUD) reserves totaled 7666 MMboe, or approximately 9 percent of worldwide total proved reserves. Apache has elected not to disclose probable or possible reserves in this filing. The Company does not have anyhad no fields that containcontained 15 percent or more of its total proved reserves for the year ended December 31, 2023. The Company had one field that contained 15 percent or more of its total proved reserves for each of the years ended December 31, 2020, 2019,2022 and 2018.2021.

During 2020,2023, the Company added 78approximately 96 MMboe from extensions, discoveries, and other additions. The Company recorded 79 MMboe of proved reserves through exploration and development adds in the U.S., comprising 67 MMboe in the Permian Basin, 10 MMboe in the Delaware Basin, and 2 MMboe in the Texas Gulf Coast. Drilling programs for the Permian and Delaware Basins include the Wolfcamp, Bone Spring and Spraberry with the Austin Chalk as the primary focus for the Texas Gulf Coast. International operations contributed 16 MMboe of exploration and development adds, with Egypt contributing 15 MMboe from onshore exploration and appraisal activity partially offset byprimarily in the Khalda Area and 1 MMboe from the North Sea. The Company had combined downward revisions of previously estimated reserves of 45 MMboe. Engineering36 MMboe, primarily driven by revisions in the U.S. Downward revisions for price and interest changes accounted for 83 MMboe, offset by engineering and performance upward revisions accounted for 27 MMboe and downward revisions related to changes in product prices and interest accounted for (70) MMboe and 2 MMboe, respectively. The Company also sold 10 MMboe of proved reserves associated with U.S. divestitures, primarily related to Eastern Shelf and Magnet Withers/Pickett Ridge.47 MMboe.

The Company’s total estimated PUD reserves of 7666 MMboe as of December 31, 2020,2023, decreased by 4210 MMboe from 11876 MMboe of PUD reserves reported at theyear end of 2019.2022. During the year,2023, Apache converted 3531 MMboe of PUD reserves to proved developed reserves through development drilling activity. In the U.S., Apache converted 2529 MMboe, with the remaining 102 MMboe in Apache’sits international areas. Apache did not sell any PUD reservesThe Company had no sales nor purchases in the U.S. and did not acquire anyplace related to PUD reserves during the year.2023. Apache added 4365 MMboe of new PUD reserves through extensions and discoveries. Apache did not recognize an upward engineering revision in proved undeveloped reserves during the year. Downward revisions included 1totaled 44 MMboe, comprising 4 MMboe associated with engineering and interest revisions, 4312 MMboe associated with revised development plans, and 628 MMboe associated with product prices.

During the year,2023, a total of approximately $339$318 million was spent on projects associated with proved undeveloped reserves. A portion of Apache’s costs incurred each year relate to development projects that will convert undeveloped reserves to proved developed reserves in future years. During 2020,2023, Apache spent approximately $251$264 million on PUD reserve development activity in the U.S. and $88$54 million in the international areas. As of December 31, 2020,2023, Apache had no material amounts of proved undeveloped reserves scheduled to be developed beyond five years from initial disclosure.

Apache’s reported reserves are reasonably certain estimates which, by their very nature, are subject to revision. These estimates are reviewed throughout the year and revised either upward or downward, as warranted.

Apache’s proved reserves are estimated at the property level and compiled for reporting purposes by a centralized group of experienced reservoir engineers that is independent of the operating groups. These engineers interact with engineering and geoscience personnel in each of Apache’s operating areas and with accounting and marketing employees to obtain the necessary data for projecting future production, costs, net revenues, and ultimate recoverable reserves. All relevant data is compiled in a computer database application, to which only authorized personnel are given security access rights consistent with their assigned job function. Reserves are reviewed internally with senior management and presented to Apache’s board of directors (the Board of DirectorsDirectors) in summary form on a quarterly basis. Annually, each property is reviewed in detail by our corporate and operating asset engineers to ensure forecasts of operating expenses, netback prices, production trends, and development timing are reasonable.

Apache’s Executive Vice President of Development is the person primarily responsible for overseeing the preparation of the Company’s internal reserve estimates and for coordinating any reserves audits conducted by a third-party engineering firm. He has Bachelor of Science and Master of Science degrees in Petroleum Engineering and over 30 years of experience in the energy industry and energy sector of the banking industry. The Executive Vice President of Development reports directly to the Company’s Chief Executive Officer.

The percentages of total estimated proved reserves values, calculated as future net cash flows discounted at 10 percent, and volumes, on a boe basis, covered by Ryder Scott’s reviewreviews for the years 2020, 2019,2023, 2022, and 2018 covered 85, 87, and 86 percent, respectively, of the value and 81, 85, and 83 percent, respectively, of the volume of the Company’s worldwide estimated proved reserves. Ryder Scott’s 2020 review covered 80, 82, and 83 percent of the estimated proved reserve volume in the U.S., Egypt, and U.K., respectively.2021 were:

The Company has filed Ryder Scott’s independent report as an exhibit to this Annual Report on Form 10-K.

According to Ryder Scott’s opinion, based on their review, including the data, technical processes, and interpretations presented by Apache, the overall procedures and methodologies utilized by Apache in determining the proved reserves comply with the current SEC regulations, and the overall proved reserves for the reviewed properties as estimated by Apache are, in aggregate, reasonable within the established audit tolerance guidelines as set forth in the Society of Petroleum Engineers auditing standards.

In November 2018, Apache Midstream LLC, one of Apache’s wholly owned subsidiaries, completed a transaction with Altus Midstream CompanyALTM and its then wholly-ownedwholly owned subsidiary Altus Midstream LP (collectively, Altus) to create a pure-play, Permian Basin midstream C-corporation anchored by gathering, processing, and transmission assets at Alpine High. Pursuant to the agreement, ApacheApache’s subsidiary contributed certain Alpine High midstream assets and options (the Pipeline Options) to acquire equity interests in five separate third-party pipeline projects (the Equity Method Interest Pipelines) to Altus Midstream LP and/or its subsidiaries. In exchange for the assets, ApacheApache’s subsidiary received economic voting and non-economic voting shares in Altus Midstream CompanyALTM and limited partner interests in Altus Midstream LP, representing an approximate 79 percent ownership interest in the combined entities.

On February 22, 2022, ALTM closed a previously announced transaction to combine with privately owned BCP Raptor Holdco LP (BCP and, Transmission Assets

After the transaction closed, Apache Midstream LLC, a wholly owned subsidiary of APA, which owned approximately 79 percent of the issued and outstanding shares of ALTM common stock prior to the BCP Business Combination, owned approximately 20 percent of the issued and outstanding shares of Kinetik common stock. Upon closing the transaction, the Company no longer consolidated the assets and liabilities of ALTM in its consolidated financial statements. Subsequent to the close of the transaction, in March 2022, the Company sold four million of its Pipeline Option with Kinder Morgan Texas Pipeline LLC (Kinder Morgan), thereby acquiring a 15 percent equity interestshares of Kinetik Class A Common Stock (Kinetik Shares) for $224 million, reducing the Company’s ownership in Kinetik to approximately 13 percent.

In December 2023, the Gulf Coast Express Pipeline Project (GCX). Altus Midstream LP acquiredCompany sold an additional 1 percent equity interest in May 2019, for a total 16 percent equity interest in GCX. GCX is a long-haul natural gas pipeline with capacity of approximately 2.0 Bcf/d and transports natural gas from the Waha area in northern Pecos County, Texas to the Agua Dulce Hub near the Texas Gulf Coast. GCX is operated by Kinder Morgan and was placed into service in September 2019.

The Company is exposed to credit risk in the event of nonpayment by counterparties, a significant portion of which are concentrated in energy-related industries. The creditworthiness of customers and other counterparties is subject to continuing review, including the use of master netting agreements, where appropriate. During 2020,each of 2023 and 2022, sales to EGPC and Vitol accounted for approximately 1715 percent and 14 percent, respectively, of the Company’s worldwide crude oil, natural gas, and NGLs production revenues. During 2019,2021, sales to BPEGPC and Sinopec, and their respective affiliates, eachCFE International accounted for approximately 10 percent and 11 percent, respectively, of the Company’s worldwide crude oil, natural gas, and NGLs production revenues. During 2018, sales to BP, Sinopec, and EGPC, and their respective affiliates, each accounted for approximately 17 percent, 1514 percent and 10 percent, respectively, of the Company’s worldwide crude oil, natural gas, and NGLs production revenues.

Management does not believe that the loss of any one of these customers would have a material adverse effect on the results of operations.

As is customary in ourthe oil and gas industry, a preliminary review of title records, which may include opinions or reports of appropriate professionals or counsel, is made at the time we acquirethe Company acquires properties. We believeThe Company believes that the Company’sits title to all of the various interests set forth above is satisfactory and consistent with the standards generally accepted in the oil and gas industry, subject only to immaterial exceptions that do not detract substantially from the value of the interests or materially interfere with their use in the Company’s operations. The interests owned by the Company may be subject to one or more royalty, overriding royalty, or other outstanding interests (including disputes related to such interests) customary in the industry. The interests may additionally be subject to obligations or duties under applicable laws, ordinances, rules, regulations, and orders of arbitral or governmental authorities. In addition, the interests may be subject to burdens such as production payments, net profits interests, liens incident to operating agreements and current taxes, development obligations under oil and gas leases, and other encumbrances, easements, and restrictions, none of which detract substantially from the value of the interests or materially interfere with their use in the Company’s operations.

Apache and its wholly owned subsidiary, Apache Deepwater LLC (ADW), developed Oil Spill Response Plansmaintain oil spill response plans (the Plans) for their respective Gulf of Mexico operations and offshore operations in the Gulf of Mexico and the North Sea, and Suriname, which ensure rapid and effective responses to spill events that may occur on such entities’ operated properties. Annually,Emergency preparedness drills are conducted to measure and maintain the effectiveness of the Plans.

Apache is a member of Oil Spill Response Limited (OSRL), a large international oil spill response cooperative, which entitles any Apacheaffiliated entity worldwide to access OSRL’s services. Apache alsoOSRL maintains aircraft available for global dispersant application and has a contractnumber of active recovery boom systems that can be used for response resourcesoffshore, nearshore, or shoreline responses. In addition to the services and equipment provided to all members of OSRL, the Company maintains membership to supplementary services from OSRL, including the U.K. Continental Shelf (UKCS) Aerial Surveillance, OSPRAG Capping Stack, and Dispersant Stockpile, providing equipment and services with National Response Corporation (NRC). NRC is the world’s largest commercial Oil Spill Response Organization and is the global leader in providing end-to-end environmental, industrial, andspecifically tailored for an emergency response solutions with operating bases in 13 countries.the North Sea.

In the event of a spill in the Gulf of Mexico, Clean Gulf Associates (CGA) is the primary oil spill response association available to Apache and ADW. Both Apache and ADW are members of CGA, a not-for-profit association of producing and pipeline companies operating in the Gulf of Mexico. CGA was created to provide a means of effectively staging response equipment and providing immediate spill response for its member companies’ operations in the Gulf of Mexico. CGA equipment includes skimming vessels, barges, boom, and dispersants.

Additionally, Apache is an active member ofthe Company has contracted with Wild Well Control’s WellCONTAINED Subsea Containment SystemControl Company for Suriname operations. This membership includes contingency planning for and response to an uncontrolled subsea well event. Apacheevents and other drilling activities. The Company utilizes a detailed Source Control Emergency Response Plan (SCERP)(ERP) for offshore Suriname planning.response preparedness. The SCERPERP has been designed to ensure that the goals of Apache’s source controlthe Company’s emergency preparedness efforts will be met in the unlikely event of an actual response to an uncontrolled well event. This includes the use of subsea dispersant systems and field deployment of one of Wild Well Control’s containment system capping stacks.

The oil and gas businessindustry is highly competitive in the exploration for and acquisitions of reserves, the acquisition of oil and gas leases, equipment and personnel required to find and produce reserves, and the gathering and marketing of oil, gas, and natural gas liquids. OurNGLs. The Company’s competitors include national oil companies, major integrated oil and gas companies, other independent oil and gas companies, and participants in other industries supplying energy and fuel to industrial, commercial, and individual consumers.

Certain of ourthe Company’s competitors may possess financial or other resources substantially larger than we possessthe Company possesses or have established strategic long-term positions and maintain strong governmental relationships in countries in which wethe Company may seek new entry. As a consequence, wethe Company may be at a competitive disadvantage in bidding for leases or drilling rights.

As an owner or lessee and operator of oil and gas properties and facilities, we arethe Company is subject to numerous federal, state, local, and foreign country laws and regulations relating to discharge of materials into, and protection of, the environment. These laws and regulations may, among other things, impose liability on the lessee under an oil and gas lease for the cost of pollution clean-up resulting from operations, subject the lessee to liability for pollution damages and require suspension or cessation of operations in affected areas. Although environmental requirements have a substantial impact upon the energy industry as a whole, we dothe Company does not believe that these requirements affect usit differently, to any material degree, than other companies in ourthe oil and gas industry.

The Company has made and will continue to make expenditures in ourits efforts to comply with these requirements, which we believethe Company believes are necessary business costs in the oil and gas industry. We haveThe Company has established policies for continuing compliance with environmental laws and regulations, including regulations applicable to ourits operations in all countries in which we doit does business. We haveThe Company has established operating procedures and training programs designed to limit the environmental impact of ourits field facilities and identify and comply with changes in existing laws and regulations. The costs incurred under these policies and procedures are inextricably connected to normal operating expenses such that we arethe Company is unable to separate expenses related to environmental matters; however, we dothe Company does not believe expenses related to training and compliance with regulations and laws that have been adopted or enacted to regulate the discharge of materials into the environment will have a material impact on ourits capital expenditures, earnings, or competitive position.

OurThe Company’s business activities and the value of ourAPA’s securities are subject to significant hazards and risks, including those described below. If any of such events should occur, ourthe Company’s business, financial condition, liquidity, and/or results of operations could be materially harmed, and holders and purchasers of ourAPA’s securities could lose part or all of their investments. Additional risks relatingand uncertainties not presently known to our securitiesthe Company or that the Company currently considers immaterial may be included inalso adversely affect the prospectus supplements related to offerings of our securities from time to time in the future.Company.

OurThe Company’s revenues, operating results, and future rate of growth, and carrying value of its oil and gas properties depend highly upon the prices we receiveit receives for ourits sales of crude oil, natural gas, and NGL production.products. Historically, the markets for these commodities have been volatile and are likely to continue to be volatile in the future. For example, the NYMEX daily settlement price for the prompt month oil contract in 20202023 ranged from a high of $63.27$93.67 per barrel to a low of -$36.98$66.61 per barrel. Thebarrel, and the NYMEX daily settlement price for the prompt month natural gas contract in 20202023 ranged from a high of $3.14$3.78 per MMBtu to a low of $1.33$1.74 per MMBtu. The market prices for crude oil, natural gas, and NGLs depend on factors beyond ourthe Company’s control. These factors include demand, which fluctuates with changes in market and economic conditions, and other factors, including:

Our results of operations, as well as the carrying value of our oil and gas properties, are substantially dependent upon the prices of oil, natural gas, and NGLs. Despite slight increases in oil and natural gas prices in 2020,Low prices have remained significantly lower than levels seen in recent years, which haspreviously adversely affected ourand could from time to time in the future adversely affect the Company’s revenues, operating income, cash flow, and proved reserves. Continuedreserves, and a prolonged period of low prices could have a material adverse impact on ourthe Company’s results of operations and cash flows and limit ourits ability to fund capital expenditures. Without the ability to fund capital expenditures, wethe Company would be unable to replace reserves and production. Sustained low prices of crude oil, natural gas, and NGLs maycould also further adversely impact ourthe Company’s business, as follows: