Happy 2007 to the People of Egypt and Apache Shareholders; Apache Announces Egyptian Oil and Gas Discoveries

HOUSTON, Jan. 9 /PRNewswire-FirstCall/ -- Apache Corporation today announced the following wells in the Western Desert of Egypt which have been completed or are in the process of being tested and should establish new reserves and production for Egypt and Apache's shareholders:

* Apache's Qasr 34, the latest Jurassic Lower Safa appraisal well on the far northwest extent of the Qasr field, tested at 18.4 million cubic feet (MMcf) of gas and 725 barrels of condensate per day. The well, drilled to a total depth of 14,000 feet, successfully extends the Qasr field 2.5 kilometers (1.6 miles) to the northwest, adding 2,200 acres to the field. Wireline logs indicate 96 feet of net pay in the upper sand of the Lower Safa between 13,328 feet and 13,442 feet. A total of 72 feet of Lower Safa pay between 13,328 feet and 13,400 feet was tested on a 3/4-inch choke with 2,000 pounds per square inch (psi) of wellhead pressure. * The Qasr 36 well, a new Alam El Bueib (AEB) discovery in the Qasr field, flowed 2,945 barrels of oil and 2.1 MMcf of gas per day on test from the AEB 3D sand. The Qasr 36 was drilled to 12,424 feet in the AEB 3G sands and targeted the AEB 3D and 3E sands. Log analysis showed 58 feet of net pay in the AEB 3D and 3E sands. * The Hathor Deep 1X on the Khalda Offset Concession discovered gas in the AEB 6 formation and oil in the AEB 3D. The well tested 12 MMcf of gas and 1,237 barrels of oil per day respectively from the two separate formations. The Egyptian General Petroleum Corporation (EGPC) has approved Apache's plan of development. Surface equipment has been installed and production will commence upon approval by the Minister of Petroleum. * The Qasr 40 logged 60 feet of net oil pay in the AEB 3E sands, plus secondary pay intervals in the AEB 3A and 3C. The new well is a step- out northwest from the Qasr 31, which currently produces 2,005 barrels per day. * The Kenz 35 well, drilled 1 kilometer (0.7 miles) northwest of the nearest producing well in the Kenz field on the Khalda Ridge, logged 140 feet of AEB net pay as well as 18 feet of net pay in the Upper Bahariya. The well will be completed in the AEB 3E formation as a gas and condensate producer.

Apache Corporation is a discoverer and producer of oil and gas energy resources that contribute to improved living standards while serving the interests of long-term investors seeking share appreciation.

For additional information about recent developments in Apache's Egyptian operations, please go to http://www.apachecorp.com/ .

This release contains certain "forward-looking statements" as defined by the Private Securities Litigation Reform Act of 1995, including, without limitation, expectations, beliefs, plans and objectives regarding reserves, future production, and marketing plans. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are future exploration and development results, availability of needed equipment and personnel, completion of required infrastructure, and the political situation in the Middle East. There is no assurance that Apache's expectations will be realized, and actual results may differ materially from those expressed in the forward-looking statements.

APA-EG