APA completed the acquisition of Callon Petroleum for $4.5 billion, including debt, adding approximately 120,000 net acres in the Delaware Basin and 25,000 net acres in the Midland Basin, enhancing APA's Permian Basin position.

APA divested non-core assets in the Permian Basin, East Texas Austin Chalk, and Eagle Ford plays for $1.6 billion, primarily to reduce debt and streamline its acreage position and drilling opportunities.

APA reached a positive final investment decision for the GranMorgu oil development in Block 58 offshore Suriname, with first oil anticipated in 2028, representing a significant long-term investment.

The Company emphasizes capital efficiency through the integration of Callon and stabilization of Egypt volumes, aiming to generate significant free cash flow, despite near-term activity and supply chain volatility.

APA suspended all new drilling activity in the North Sea during the second quarter of 2023, citing that the expected returns do not economically support making investments required under the combined impact of regulations.

The Company commits to returning 60 percent of free cash flow to shareholders through dividends and share repurchases, balancing near-term cash returns with longer-term balance sheet strengthening.

The company's revenues, operating results and future growth depend highly on the prices it receives for crude oil, natural gas and NGL products, which have historically been volatile and are likely to continue to be volatile in the future.

A significant portion of the Company's production and resources are subject to increased political and economic risks associated with international operations, including strikes, civil unrest, war, acts of terrorism, expropriation, and resource nationalization.

Increasing attention to climate change and energy transition initiatives may lead to negative investor and public sentiment toward the Company and to the diversion of capital from companies in the oil and gas industry, which could negatively impact the Company's access to and costs of capital.

The oil and gas industry is highly competitive in the exploration for and acquisitions of reserves, the acquisition of oil and gas leases, equipment and personnel required to find and produce reserves, and the gathering and marketing of oil, gas, and NGLs.

The Company believes its diversified portfolio of core assets, which comprises large acreage positions and well-established production bases across multiple geographic areas, its balanced production mix between oil and gas, its management and incentive systems, and its experienced personnel give it a strong competitive position relative to many of the Company's competitors.

During 2024, LOE increased $254 million, or 18 percent, compared to 2023. On a per-boe basis, LOE increased $0.48, or 5 percent, compared to 2023, from $9.68 per boe to $10.16 per boe.

In Egypt, the Company continued its drilling and workover activity with a focus on oil prospects. The Company averaged 14 drilling rigs and drilled 62 new productive wells during 2024. During the same period, the Company averaged 20 workover rigs as it continues to align its drilling and workover activity with a goal of driving improved capital efficiency.

The GranMorgu FPSO unit is designed to accommodate future tie-back opportunities that would extend its 4-year production plateau and will feature technology that minimizes greenhouse gas emissions.

In 2024, the Company drilled 48 gross development and 36 gross exploration wells in Egypt. A key component of the Company's success has been the ability to acquire and evaluate 3-D seismic surveys that enable the Company's technical teams to consistently high-grade existing prospects and identify new targets across multiple pay horizons in the Cretaceous, Jurassic, and deeper Paleozoic formations.

Capital investment plans have accordingly been aligned across other areas of the portfolio while maintaining a focus on the Company's capital returns framework.

The Company has repurchased 85.3 million shares of the Company's common stock. Subsequent to year-end 2024 and through the date of this filing on February 28, 2025, the Company repurchased 3.9 million shares, and as of February 28, 2025, the Company had remaining authorization to repurchase up to 30.9 million shares under the Company's share repurchase programs.

In 2024, the Company's environmental stewardship initiatives included grants of 169,000 trees to 63 community partners in the U.S. and U.K. through the Apache Corporation Tree Grant Program.

APA is committed to being a responsible partner in the communities where it operates. The Community Partnerships group oversees the Company's global strategic community engagement, including the stewardship of key stakeholder relationships.

In 2024, the Company continued its partnership with the Clean Cooking Alliance (CCA) on a venture accelerator program in Sub-Saharan Africa. Our support has helped CCA facilitate a catalytic finance program for early-stage clean cooking entrepreneurs by providing access to technical support, funding, and external networks to expand their businesses.

There has been discussion in other countries where the Company operates, including the U.S., regarding changes in legislation or heightened regulation of GHGs, including to monitor and limit existing emissions of GHGs and to restrict or eliminate future emissions.

The treatment and disposal of produced water is highly regulated and restricted. Regulators in some states, such as the Railroad Commission of Texas, have taken actions to limit disposal well activities and to require the monitoring of seismic activity.

In recent years, increasing attention has been given to corporate activities related to climate change and energy transition. This focus, together with shifting preferences and attitudes with respect to the generation and consumption of energy, the use of hydrocarbons, and the use of products manufactured with, or powered by, hydrocarbons, may result in increased availability of, and demand for, energy sources other than oil and natural gas.