6769--2/26/2010--APACHE

related topics

{gas, price, oil}

{loss, insurance, financial}

{operation, international, foreign}

{regulation, change, law}

{capital, credit, financial}

{cost, regulation, environmental}

{competitive, industry, competition}

{cost, contract, operation}

{debt, indebtedness, cash}

Our ability to sell natural gas or oil and/or receive market prices for our natural gas or oil may be adversely affected by pipeline and gathering system capacity constraints and various transportation interruptions. Weather and climate may have a significant adverse impact on our revenues and productivity. Our commodity price risk management and trading activities may prevent us from benefiting fully from price increases and may expose us to other risks. The credit risk of financial institutions could adversely affect us. We are exposed to counterparty credit risk as a result of our receivables. A downgrade in our credit rating could negatively impact our cost of and ability to access capital. Market conditions may restrict our ability to obtain funds for future development and working capital needs, which may limit our financial flexibility. Discoveries or acquisitions of additional reserves are needed to avoid a material decline in reserves and production. We may not realize an adequate return on wells that we drill. Material differences between the estimated and actual timing of critical events may affect the completion and commencement of production from development projects. We may fail to fully identify potential problems related to acquired reserves or to properly estimate those reserves. Crude oil and natural gas reserves are estimates, and actual recoveries may vary significantly. Certain of our undeveloped leasehold acreage is subject to leases that will expire over the next several years unless production is established on units containing the acreage. We may incur significant costs related to environmental matters. Our North American operations are subject to governmental risks that may impact our operations. Pending regulations related to emissions and the impact of any changes in climate could adversely impact our business. The proposed U.S. federal budget for fiscal year 2011 includes certain provisions that, if passed as originally submitted, will have an adverse effect on our financial position, results of operations, and cash flows. Proposed federal regulation regarding hydraulic fracturing could increase our operating and capital costs. International operations have uncertain political, economic and other risks. Our operations are sensitive to currency rate fluctuations. We face strong industry competition that may have a significant negative impact on our result of operations. Our insurance policies do not cover all of the risks we face, which could result in significant financial exposure.

Full 10-K form ▸

6769--2/26/2010--APACHE_CORP