EXHIBIT 13
ANADARKO PETROLEUM CORPORATION
PORTIONS OF THE ANADARKO PETROLEUM CORPORTION
1993 ANNUAL REPORT TO STOCKHOLDERS

Summary Financial Data*

% Change
Millions except per share amounts 1993 92-93 1992 1991 1990 1989
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Revenues $ 476.3 27 $375.2 $336.6 $388.5 $361.5
Operating Income 104.1 53 67.6 73.0 118.6 113.3
Net Income before Cumulative Effect
of Changes in Accounting Principles 40.0 47 27.3 32.4 55.2 48.0
Net Income 117.4 330 27.3 32.4 55.2 48.0
Net Cash from Operating Activities 274.3 60 171.6 160.0 207.7 210.8
Per Common Share
Net Income before Cumulative Effect
of Changes in Accounting Principles 0.70 43 0.49 0.59 1.04 0.92
Net Income 2.05 318 0.49 0.59 1.04 0.92
Dividends 0.30 -- 0.30 0.30 0.30 0.30
Average Shares Outstanding 57.2 3 55.3 55.0 53.0 52.2
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Capital Expenditures 264.5 (27) 359.9** 165.5 211.0 201.2
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Long-term Debt 543 (16) 647 440 427 492
Stockholders' Equity 864 32 657 641 618 495
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Total Assets $ 2,023 6 $1,905 $1,676 $1,648 $1,553
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Oil Reserves (MMBbls) 78.5 (2) 80.3 45.8 32.6 28.4
Gas Reserves (Tcf) 1.88 9 1.73 1.74 1.70 1.73
Total Reserves (MMEEBs) 391.1 6 368.0 336.5 316.6 316.5
------- ---- ------ ------ ------ ------
U.S. Finding Cost ($/EEB) $ 3.55 (23) $ 4.61 $ 2.62 $ 5.29 $ 5.82
Reserve Replacement
(% of Production) 162 (19) 200 166 100 111
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* Consolidated for Anadarko Petroleum Corporation (referred to herein as
Anadarko) and its subsidiaries, including Anadarko Gathering Company,
Anadarko Marketing Company, Anadarko Trading Company, Anadarko Petroleum of
Canada Ltd. and Anadarko Algeria Corporation.
** Includes acquisition of producing properties of approximately $206 million.

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EXPLORATION
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In 1993, Anadarko realized outstanding success in its exploration drilling
program. During the year, the Company drilled 32 exploration wells with a 56
percent success rate compared to 27 wells drilled with a 41 percent success
rate in 1992. Significant discoveries were made in the United States, both
onshore and offshore, and in Algeria.

Key to Anadarko's success is an ongoing commitment to stay active in
exploration and maintain a balanced portfolio of prospects. As a result,
Anadarko was better positioned than many of our industry peers to take
advantage of higher than expected cash flows in 1993.

Exploration spending in 1993 was approximately $97 million, compared to $64
million in 1992. Anadarko expects to increase its exploration spending in 1994
to about $105 million.

GULF OF MEXICO

The Gulf of Mexico has been one of the nation's most prolific exploration plays
for more than three decades. With the increased use of three-dimensional (3-D)
seismic and other integrated exploration technology, the Gulf of Mexico is
offering new opportunities for oil and gas exploration unmatched in many years.

In 1993, Anadarko strengthened its position in the offshore arena with
significant discoveries in the new sub-salt play and in conventional
exploration plays. During the year, Anadarko drilled seven exploration wells in
the Gulf with three discoveries. These discoveries hold the potential for
significant increases in reserves and production over the next several years.
The Company plans to drill 11 exploratory wells offshore in 1994.

THE SUB-SALT PLAY

No play better symbolizes Anadarko's technological edge in the Gulf of Mexico
than the sub-salt trend -- which is becoming the high-potential domestic
exploration play of the 1990s. Processing techniques -- with 3-D seismic --
called pre-stack and post-stack depth migration analysis are allowing energy
explorers to "see" below large, horizontal salt sheets for the first time.

In September 1993, Anadarko and its partners announced a major oil discovery at
Ship Shoal Blocks 349/359, tagged with the prospect name "Mahogany." The first
well tested at flow rates of up to 7,256 barrels of oil per day (BOPD) and 9.9
million cubic feet per day (MMcf/d) of gas through a 1/2-inch choke at 7,063
pounds per square inch (psi) flowing tubing pressure. A delineation well -- the
Mahogany #2 -- began drilling in January 1994; a third delineation well will
follow later this year. Anadarko owns a 37.5-percent working interest in
Mahogany.

Shortly after the Mahogany discovery was made, Anadarko and Phillips Petroleum
Company began drilling an exploratory well on a second sub-salt prospect, named
"Teak," located in 250 feet of water at South Timbalier Blocks 259/260/283,
offshore Louisiana. Anadarko owns a 50-percent working interest in the Teak
prospect.

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The third sub-salt prospect being explored by Anadarko and Phillips,
named "Mesquite," began drilling in February 1994 on Vermilion Block 349,
offshore Louisiana in 270 feet of water. Anadarko is operator of the well and
owns a 50-percent working interest.

Anadarko and Phillips own interests in 15 offshore lease blocks in the sub-salt
play. The Company plans to drill five more sub-salt prospects in 1994 and 1995.

CONVENTIONAL OFFSHORE EXPLORATION

While the sub-salt play is significant to Anadarko and to industry exploration
in the Gulf, the Company is also using 3-D techniques for more conventional
exploration targets in traditional areas offshore Texas and Louisiana. At
Matagorda Island Block 636, offshore Texas, Anadarko and its partners made an
important natural gas discovery in 1993. The discovery is adjacent to the
Matagorda Island 623 field, which is one of the largest offshore Texas gas
fields ever found and consists of a four block area encompassing Matagorda
Island Blocks 622/623/635/636. Discovered by Anadarko in the early 1980s, gross
production from the field averaged about 185 MMcf/d of gas and 1,400 barrels of
condensate per day (BCPD) in 1993. A pipeline is being installed to connect the
new discovery to a production platform on Matagorda Island Block 622. Flow test
results from the discovery are expected in the second quarter of 1994. Anadarko
owns a 37.5-percent working interest in all four of the Matagorda Island
Blocks.

In December 1993, Anadarko announced a significant natural gas discovery at
East Cameron Block 157, located 50 miles offshore Louisiana. The well
encountered over 250 feet of net gas pay in six separate Mio-Pliocene sands
between 9,500 feet and 15,000 feet. Development drilling will begin in the
second quarter of 1994 to further delineate the field. Anadarko has also begun
the design of a drilling and production platform and related equipment, which
are expected to be installed in late 1994. Anadarko owns a 100-percent working
interest in East Cameron Block 157 and a 50-percent working interest in the
adjacent East Cameron Block 158, where an exploratory well is slated for the
second half of 1994.

YEGUA TREND

Anadarko continues to be one of the most active companies exploring the Yegua
Trend of Southeast Texas. Since the Company began exploring the trend in 1992,
Anadarko has participated in 11 successful wells out of a total 16 wells
drilled -- an exceptional success rate for an exploration play.

One reason for the Company's success is its use of technology. High-density,
two-dimensional seismic analysis -- including a technique called amplitude
versus offset (AVO) -- has served to reduce risk in the trend. The Company has
an average working interest of 50 percent in 32,000 lease acres encompassing 12
drillable prospects with significant gross reserve potential.

Anadarko expects to continue its active exploration and development of the
Yegua Trend with 10 wells planned for 1994.

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ALGERIA

Anadarko's international exploration efforts in 1993 continued to be focused in
Algeria where the Company has had three significant discoveries since 1989 on a
5.1-million acre concession secured from Sonatrach, the national oil and gas
enterprise of Algeria. Sonatrach is beneficial owner of 10.2 percent of
Anadarko's common stock. Anadarko's objective in international exploration is
to bring high-potential prospects to the balanced mix of domestic plays.

In February 1993, the Company announced its first discovery in Algeria located
in the Ghadames Basin on Block 208. The El Merk #1 (EMK #1) well flowed over
3,700 BOPD and 17 MMcf/d of gas from two Triassic zones. A subsequent
delineation well -- the El Merk #2 (EMK #2) -- drilled in August proved
inconclusive as to the commerciality of the EMK #1 discovery well.

In November 1993, Anadarko began drilling a third well on Block 208 -- the El
Merk East #1 (EME #1). Located approximately six kilometers southeast of the
EMK #1, the EME #1 was drilled to a total depth of 4,529 meters (14,859 feet)
and encountered more than 70 meters (230 feet) of net hydrocarbon pay from
various Triassic and Devonian sandstones. The well flowed over 8,100 barrels of
oil and condensate per day and 82 MMcf/d of gas from four zones.

Also in November, Anadarko contracted a second drilling rig and began drilling
another discovery well in Algeria. The Hassi Berkine North #1 (HBN #1), located
on Block 404, was drilled to a total depth of 3,430 meters (11,251 feet) and
encountered 23 meters (75 feet) of net pay in a Triassic sandstone. The well
tested 4,900 BOPD of 42 degree API gravity crude oil and 6.3 MMcf/d of gas
through a 3/4-inch choke with 1,330 psi of flowing tubing pressure.
Delineation plans are currently being considered by the partners.

During the first half of 1994, Anadarko and partners will drill two more
exploration wells -- Berkine East #1 (BKE #1) and Hassi Berkine East #1 (HBE
#1) -- both of which are located on Block 404.

Anadarko is operator of these wells with a 50-percent working interest. Other
partners in the Algerian venture -- each with a 25-percent working interest --
are LASMO Oil (Algeria) Limited, a wholly-owned subsidiary of LASMO plc; and,
Maersk Olie Algeriet AS, a wholly owned subsidiary of Maersk Olie og Gas AS, a
company in the Danish A.P. Moeller group.

PUEBLO VALLEY

In November 1993, Anadarko successfully tested two offset confirmation wells to
its 1989 geothermal discovery in the Pueblo Valley of southeast Oregon. Located
in the Alvord Known Geothermal Resources Area (Alvord KGRA), the well flowed at
an average rate of 290 gallons of water per minute with a wellhead temperature
of 296 degrees Fahrenheit.

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Anadarko is considering development of the field for electric power generation
using binary (closed system) power plants. Binary geothermal power plants have
no atmospheric emissions and have the least environmental impact of all
renewable energy sources capable of firm power generation. The Company has been
selected to participate in contract negotiations with Portland General Electric
Company to provide electric power under a long-term contract from a proposed 22
megawatt binary plant.

Results of negotiations are expected during 1994. Subsequent to a successful
contract, full project development would take about four years.

Anadarko holds 8,120 net lease acres at the Pueblo Valley discovery site and an
additional 39,485 net lease acres within the Alvord KGRA. Anadarko maintains
an active interest in geothermal energy because of its long-term economic
potential.

DEVELOPMENT
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While Anadarko's exploration program yielded major discoveries for the Company
in 1993, the Company's development program provides low-risk additions to
proved reserves and production capacity year after year. Anadarko drilled 187
development wells with a 90 percent success rate in 1993 compared to 99
development wells drilled in 1992 with an 84 percent success rate.

Capital spending for development activities in 1993 was approximately $78
million or 29 percent of total capital spending. This compares to development
spending of $29 million or 8 percent of total capital expenditures in 1992. In
1994, Anadarko expects to allocate about $142 million for development, which is
38 percent of the Company's 1994 capital budget.

HUGOTON

Anadarko continues to develop its natural gas reserves through development
drilling in the shallow Hugoton Field of Kansas. Anadarko implemented an infill
program in 1987 to enhance natural gas production and improve recovery from the
Hugoton Field Chase Group formation.

In 1993, Anadarko had interests in a total of 674 producing gas wells in the
Hugoton Field, including 282 infill wells. The Company's natural gas production
from the field in 1993 was approximately 44 billion cubic feet (Bcf), up 18
percent from 38 Bcf produced in 1992.

Anadarko's production from the Hugoton Field is expected to increase in 1994
due to modifications in production allowable rules approved by the Kansas
Corporation Commission (KCC) in December 1993. The KCC issued a written order
on their decision in February 1994. (See Regulatory and Legislative
Developments included in Management's Discussion and Analysis.) In 1993,
Anadarko recorded a modest positive revision to its Hugoton Field reserves to
reflect a portion of the effect of the KCC order. (See Supplemental Information
to Oil and Gas Exploration and Production Activities included in the
Consolidated Financial Statements.)

In 1994, Anadarko expects to drill about 40 infill wells in the field, as well
as expand its Hugoton area gas gathering and compression facilities.

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SOUTHWEST KANSAS

In 1993, Anadarko continued its "deep" drilling program to find and develop oil
and gas reservoirs beneath the shallow natural gas pay zones in the Hugoton
Field area.

One example of Anadarko's success in deep drilling has been in the Stirrup
Field of Morton County, Kansas. Anadarko has drilled 17 oil wells and five gas
wells since the Stirrup Field was discovered in 1985. Gross production averaged
1,450 BOPD and 12 MMcf/d of gas in 1993, an 86-percent increase over field
production in 1992. Anadarko expects to drill 36 "deep" oil and gas wells in
southwest Kansas in 1994.

Anadarko continues to boost its crude oil production in southwest Kansas
through secondary recovery or "waterflood" operations. At Anadarko's Hitch
Unit, gross production increased over 400 percent in 1993 to an average 2,200
BOPD compared to an average of 420 BOPD in 1992. At year-end 1993, the Hitch
Unit was producing over 3,000 BOPD. Anadarko has a 91-percent working interest
in the Hitch Unit.

GOLDEN TREND

One of Anadarko's most important development plays is the Golden Trend of
central Oklahoma, where the Company owns interests in 206 wells, most of which
are connected to the Company's Antioch Gathering System. During 1993, the
Company drilled 37 development wells in the trend to extend the known
geographic limits of the reservoir. Production from the trend was 16.6 MMcf/d
of gas and 583 BOPD at year-end 1993. Anadarko plans to drill another 44
development wells in the Golden Trend in 1994.

PERMIAN BASIN

Anadarko continues to increase its use of secondary recovery ("waterflood")
techniques to maximize production of the Company's oil reserves in the Permian
Basin of West Texas. Anadarko's net crude oil production from the area is more
than 10,000 BOPD or about 50 percent of the Company's total crude oil and
condensate production. This compares to net production from the area of 3,300
BOPD in 1992.

Since 1988, Anadarko has focused much of its acquisition efforts on Permian
Basin oil properties. During 1992, the Company invested over $200 million to
buy additional oil properties mainly in the Permian Basin. The Company spent
another $9 million to develop and upgrade these properties in 1993. As a result
of acquisition and development strategies, Anadarko's total crude oil and
condensate production increased over 70 percent in 1993 compared to 1992.

In 1994, Anadarko expects to invest $15 million to further develop its
waterflood oil properties in the Permian Basin, as well as other secondary
recovery properties in the Mid-continent.

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GULF OF MEXICO

Anadarko's development of its offshore producing properties in 1993 included
drilling four development wells. Anadarko's 1993 production in the Gulf of
Mexico remained steady at 94 MMcf/d of gas and 1,600 BOPD compared to 1992 and
1991.

Most notable during the year was Anadarko's continued development of the High
Island Block A-376 field. In March 1993, Anadarko drilled a successful
delineation well that flowed approximately 5 MMcf/d of gas and 424 BCPD. The
well encountered 162 feet of net pay and confirmed a discovery well, drilled in
November 1992, which encountered 178 feet of net pay. The discovery tapped a
new reservoir that is separate from the existing production areas which have
produced over 9 MMBbls of oil and 55 Bcf of gas since being discovered by
Anadarko in 1979. A second production platform will be installed on High Island
A-376 in mid-1994 with production expected to be on stream by year-end.
Anadarko is operator of the block and owns a 33-percent working interest.

During 1994, Anadarko expects to participate in seven development wells in the
Gulf of Mexico. Platform design and installation work will commence in 1994 on
a number of discoveries made in 1993.

ACQUISITIONS
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Anadarko's acquisitions strategy places special emphasis on oil and gas
producing properties in the United States and Canada where the Company's
exploration and production activities are already strong. The goal is to
enhance the Company's position and increase profitability in the areas Anadarko
knows best.

In 1993, Anadarko maintained an active program to evaluate numerous potential
acquisition opportunities in both the United States and Canada. By year-end,
the Company closed 24 property acquisition transactions in core producing areas
with net proved reserves of 5.7 million energy equivalent barrels (MMEEBs) at a
cost of $27.8 million or $4.90 per EEB. Over the next few years, the Company
expects to spend about $8 million to further develop reserves on the acquired
properties. Acquisitions replaced about 15 percent of total production in 1993.

The largest transaction in 1993 involved $20 million paid for "deep" oil and
gas properties encompassing 24,000 lease acres in southwest Kansas from Mesa
Operating Limited Partnership. The purchase included proved reserves of about
3.7 MMEEBs and a 6-1/2 percent over-ride interest in an additional 188,000
lease acres which are under a pre-existing farm-out arrangement with another
company until 1999, when the undeveloped portion of the acreage will revert to
Anadarko.

With further evaluation of these properties and results from seven development
wells drilled in 1993, the Company added another 1.9 MMEEBs to reserves from
this acquisition. By year-end 1993, production from the properties had
increased to 985 BOPD and 2.5 MMcf/d of gas from 450 BOPD and 1.4 MMcf/d of gas
when the properties were acquired in late June 1993. Development drilling will
continue in 1994 on about 40 identified prospects on the properties.

Anadarko expects competition in the acquisitions arena to remain keen. In 1994,
the Company will continue to concentrate on acquisitions of quality producing
properties with long reserve lives that mesh profitably and strategically with
Anadarko's ongoing operations. As part of this focus on core producing areas,
Anadarko will complement its property acquisition efforts with a divestment
strategy to include sales of non-strategic assets during 1994.

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MARKETING
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Anadarko's marketing strategies are designed to capture maximum value when the
Company sells natural gas, crude oil and natural gas liquids.

NATURAL GAS

Since becoming an independent company in 1986, Anadarko has significantly
increased its natural gas sales and gained market share by offering customers
secure supplies under a variety of contract options with innovative pricing
structures and marketing related services.

In 1993, the Company's marketing subsidiary Anadarko Trading Company (ATC) was
redesigned to provide a variety of value-added marketing services to end-use
customers primarily in midwest and northeast markets. Installation began on a
computerized decision-support system which will allow ATC to move gas to the
most profitable markets and take advantage of the lowest cost transportation
available.

ATC continues to expand its gas sales capacity by increasing its purchase of
non-affiliated gas. In 1993, sales of non-affiliated purchased gas totaled 82
Bcf compared to 58 Bcf in 1992 and 28 Bcf in 1991. In December 1993, ATC
entered into a one-year gas purchase agreement with PanCanadian Petroleum
Company (U.S.), effective April 1, 1994, under which ATC will purchase 42
MMcf/d of gas from PanCanadian for sale into market areas in Illinois,
Wisconsin and Minnesota. In 1993, ATC sold about 100 MMcf/d of gas into this
Midwest market.

Gas is sold under a portfolio of contracts, the majority of which are
market-responsive with pricing being determined based on the term of the
contract, the level of reliability and the types of services provided. In 1993,
about half of Anadarko's gas sales volumes (including sales of gas purchased
from non-affiliated parties) was sold directly to local distribution companies
and industrial end-users compared to about one-third in 1992.

PLANTS AND PIPELINES

Anadarko's investment in gas gathering operations allows the Company to better
manage its gas production, improve theultimate recovery of reserves and enhance
marketing opportunities.

Since 1988, the Company has invested approximately $54 million to build or
acquire gas gathering systems and gas processing plants. Anadarko currently
owns and operates four major gas gathering systems in core producing areas and
operates or has interests in 13 other systems. These four large systems have
capacity of 300 MMcf/d of gas and are connected to 536 wells.

In 1993, Anadarko began a $1.6 million expansion of its Hugoton Gathering
System (HUGS) in southwest Kansas, built in 1990. With completion of this
expansion in January 1994, HUGS has 120 MMcf/d of gas capacity to serve
Anadarko's markets in the Midwest through two interstate and one intrastate
pipeline connection. Additional expansion projects are planned on HUGS in 1994.

Also in 1993, Anadarko invested $1.7 million to expand and add compression
equipment to its Antioch Gathering System in central Oklahoma. As a result,
throughput at the Panther Creek Plant increased from 16 to 26 MMcf/d of gas.

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In 1994, Anadarko will aggressively pursue further expansion of its gas
gathering and processing operations. A new Plants and Pipelines Division will
invest approximately $36 million in 1994 for construction of new gathering and
processing facilities, installation of additional compressors and expansion of
existing gathering systems.

Anadarko also will continue its aggressive pursuit of additional marketing and
transportation options through participation in development of market trading
centers (hubs) in areas of Company operations.

CRUDE OIL, CONDENSATE AND NATURAL GAS LIQUIDS

Anadarko's crude oil and condensate sales volumes were up 70 percent in 1993
compared to 1992 primarily due to the purchase of producing oil properties in
the Permian Basin in December 1992.

The majority of Anadarko's crude oil production is sold on 30-day "evergreen"
contracts with prices based on postings plus a premium.

Over the past few years, Anadarko has become increasingly active in the natural
gas liquids (NGLs) business, primarily as a result of its gas gathering and
processing operations. In 1993, Anadarko's sales of NGLs reached record levels
of 2.7 MMBbls. The increase is related primarily to the acquisition of
producing properties in the Permian Basin of West Texas in December 1992, as
well as sales from inventory.

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STOCKHOLDERS' INFORMATION

The common stock of Anadarko Petroleum Corporation is traded on the New York
Stock Exchange. Average daily trading volume was 283,000 shares in 1993,
205,000 shares in 1992 and 183,000 shares in 1991.

The ticker symbol for Anadarko is APC and daily stock reports published in
local newspapers carry trading summaries for the Company under the headings
ANADRK or ANADRKPETE.

The following shows information regarding the closing market price of and
dividends paid on the Company's common stock by quarter for 1993 and 1992.

FIRST SECOND THIRD FOURTH
QUARTER QUARTER QUARTER QUARTER
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1993
Market Price
High $38.25 $43.63 $47.50 $51.75
Low 25.88 36.25 38.25 39.50
Dividends $0.075 $0.075 $0.075 $0.075
1992
Market Price
High $24.00 $27.00 $32.75 $30.88
Low 18.88 20.25 23.38 26.63
Dividends $0.075 $0.075 $0.075 $0.075