Global Operations 2007 Operating Highlights Production 204.8 MMboe Estimated Proved Reserves 2,445.8 MMboe Wells Drilled/Productive 1,101/955 Gross Acreage 41,552,134

Apache was formed in 1954 with the simple concept of becoming a significant and profitable oil company.  We have grown — through the determination of our people — to become one of the world’s top independent oil and gas exploration and development companies with $28.6 billion in assets.

Our mission is to grow a profitable upstream oil and gas company for the long-term benefit of our shareholders.

Our strategy is to build a portfolio of core areas which provide long-term growth opportunities through grass-roots drilling supplemented by occasional acquisitions.

Apache's producing operations are located in six countries and comprised of seven regions— the United States (Gulf Coast and Central regions), Canada, Egypt, the North Sea, Australia and Argentina.  We are just beginning exploration activities in Chile.

We seek to grow profitably while building critical mass that supports sustainable, lower-risk, repeatable drilling opportunities. This enables us to pursue higher-risk, higher-reward exploration primarily in our international regions; particularly our growth areas of Australia, Canada and Egypt. We also seek a balance in terms of product mix, and geologic and geographic risk, in order to achieve consistency in our results. As a testament to our balanced-portfolio approach Apache increased production for the 28th out of 29 years and reserves for the 22nd consecutive year.