EXHIBIT 99.2

     Anadarko Increases Quarterly Dividend on Common Stock by 29%

    HOUSTON--(BUSINESS WIRE)--Jan. 28, 2005--The Board of Directors of
Anadarko Petroleum Corporation (NYSE:APC) has elected to increase the
quarterly dividend on the company's common stock by 29 percent.
    "Anadarko has performed well in the past year and we are confident
about our prospects for continued growth," said Jim Hackett, Anadarko
Petroleum president and CEO. "We said we would maintain financial
discipline, which includes providing shareholders a competitive
current return on investment. Through the combination of our ongoing
stock repurchase program and today's announced dividend increase, we
are making good on that promise."
    A dividend of 18 cents per share was declared on the company's
outstanding common stock, payable on March 23, 2005, to stockholders
of record at the close of business on March 9, 2005.
    Also, a standard dividend of $13.65 per share (equivalent to
$1.365 per Depositary Share) was declared on the company's 5.46%
Series B Cumulative Preferred Stock, payable on March 31, 2005, to
stockholders of record at the close of business on March 15, 2005.
    The amount of future dividends for Anadarko common stock will
depend on earnings, financial condition, capital requirements and
other factors. The Board of Directors will determine dividends on a
quarterly basis.


              ANADARKO PETROLEUM CORPORATION (NYSE:APC)
                                              5.46% Series B
                  Common Stock             Cumulative Preferred Stock

Record Date:      March 9, 2005            March 15, 2005
Payment Date:     March 23, 2005           March 31, 2005
Amount:           18 cents per share       $13.65 per share
                                           (Equivalent to $1.365 per
                                           Depositary Share)

    Anadarko Petroleum Corporation's mission is to deliver a
competitive and sustainable rate of return to shareholders by
developing, acquiring and exploring for oil and gas resources vital to
the world's health and welfare. As of year-end 2004, the company had
2.37 billion BOE of proved reserves, making it one of the world's
largest independent exploration and production companies. Anadarko's
operational focus extends from the deepwater Gulf of Mexico, up
through Texas, Louisiana, the Mid-Continent, western U.S. and Canadian
Rockies and onto the North Slope of Alaska. Anadarko also has
significant production in Algeria, Venezuela and Qatar, and
exploration or production positions in several other countries. For
more information about how Anadarko is bringing excellence to the
surface, 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 its goals will be achieved. A number of
factors could cause actual results to differ materially from the
projections, anticipated results or other expectations expressed in
this release. While Anadarko makes these forward-looking statements in
good faith, neither Anadarko nor its management can guarantee that the
anticipated future results will be achieved. See Regulatory Matters
and Additional Factors Affecting Business in the Management's
Discussion and Analysis included in the company's 2003 Annual Report
on Form 10-K.

    CONTACT: Anadarko Petroleum Corporation, Houston
             Media Contacts:
             Teresa Wong, 832-636-1203
             teresa_wong@anadarko.com
             or
             Investor Contacts:
             David Larson, 832-636-3265
             david_larson@anadarko.com
             or
             Stewart Lawrence, 832-636-3326
             stewart_lawrence@anadarko.com