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                                                                    EXHIBIT 99.2
 
                          APACHE AND PHOENIX TO MERGE
 
     Houston, March 28, 1996 -- Apache Corporation today announced it has
entered into a merger agreement with The Phoenix Resource Companies, Inc., under
which shareholders of that company will receive .75 shares of Apache common
stock plus $4 cash in exchange for each of Phoenix common stock. Phoenix has
approximately 16.1 million shares outstanding.
 
     The merger is subject to government approvals and to a majority vote by
Phoenix shareholders. Phoenix's officers and directors have unanimously
committed to vote their shares in favor of the merger. Closing is expected by
midyear.
 
     The merger brings to Apache proved reserves of approximately 33 million
barrels of oil equivalent in 18 fields; in excess of 15,000 net barrels per day
of oil production in 1997, when Qarun facilities are fully operational; 50
identified drilling prospects; $30 million in working capital; and pipelines and
facilities valued at approximately $50 million. In addition, cost-recovery
provisions in the Phoenix production-sharing contracts make available funding in
excess of $200 million from expected production for Apache's future exploration
and development program in the Qarun and Khalda concessions.
 
     The merger will boost Apache's position in Egypt to 11.6 million gross
acres. Phoenix owns a 40 percent contractor interest in the 2.4-million-acre
Khalda and Khalda Offset concessions and is contractor-operator of the
1.9-million-acre Qarun Concession, in which it holds a 50 percent interest. Both
are located in the Western Desert. Apache already owns a 25% contractor interest
in Qarun.
 
     "The Phoenix merger provides a strong platform for launching a vigorous
exploration and production program," said Apache Chairman and Chief Executive
Raymond Plank. "Existing production and numerous identified drilling prospects
only scratch the surface of the massive acreage position from which we intend to
drive shareholder value. Egypt now joins Western Australia's Carnarvon Basin as
a core international holding for Apache, providing growth opportunities that are
virtually self-funding. The merger completes Apache's transformation into a
global exploration and production company with growth potential in six North
American and two international core areas."
 
     Plank described the Western Desert as "an under-explored region larger than
the State of Oklahoma. Only 435 exploratory wells have been drilled there to
date, versus 40,000 in Oklahoma."
 
     Apache President and Chief Operating Officer Steve Farris said, "The merger
is expected to be additive to per-share earnings and cash flow following the
ramp-up of gross daily oil production at Qarun field from the current 6,500
barrels to 35,000 barrels by early 1997. That increase, coupled with current
Khalda production of approximately 32,000 barrels of oil per day, should
generate cash flow from the acquired properties of approximately $70 million in
1997, based on a realized price of $17 per barrel. Including Apache's existing
interest in Qarun, our cash flow from Egyptian operations should approximate
$100 million next year," Farris said.
 
     "The structure of the production-sharing agreement will enable Apache to
explore an area with enormous potential, funded through the cost-recovery
mechanism," Farris added.
 
     "Rising production in Egypt, coupled with new production from our Stag
field discovery offshore Western Australia, should enable Apache's total oil
production next year to reach approximately 75,000 barrels per day," Farris
said.
 
     Apache's debt-to-capitalization ratio will decline from 50 percent to
approximately 45 percent as a result of the 12.7 million additional shares
(including shares issuable for assumed options) to be exchanged in connection
with the merger.
 
     Apache and Phoenix will file with the Securities and Exchange Commission a
combined proxy statement/prospectus which, among other things, will provide for
the registration of the Apache common stock to be issued in connection with the
merger. The offering will be made only by means of a prospectus, which will be
issued to the shareholders of Phoenix after the registration statement is
declared effective.
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     Apache Corporation is a large oil and gas exploration and production
company with operations in North America and abroad. Its shares are traded on
the New York and Chicago stock exchanges under the ticker symbol APA.
 
     The Phoenix Resource Companies, Inc., is an exploration and development
concern operating exclusively in Egypt. Its shares are listed on the American
Stock Exchange under the symbol PHN.