APA Corporation and Partners Lagniappe Alaska and Oil Search Announce Significant Oil Discovery in Alaska’s North Slope at Sockeye-2 Exploration Well; Partners Proceeding with Further Evaluation and Testing
APA (NYSE, Nasdaq: APA) and partners Lagniappe Alaska and Oil Search have announced a significant oil discovery at the Sockeye-2 exploratory well in Alaska's North Slope. The well, drilled to approximately 10,500 feet, revealed a high-quality reservoir with 25 feet of net oil pay in a Paleocene-aged sand formation, featuring an impressive 20% average porosity.
The Sockeye prospect spans 25,000 to 30,000 acres, with APA holding a 50% working interest, while operator Lagniappe and Santos each hold 25%. Additional potential pay zones were discovered in the shallower Staines Tongue formation. This marks the partnership's second successful exploratory well on their 325,411-acre position, following the King Street-1 discovery which found oil in two separate Brookian Zones.
The partners are currently conducting further evaluation, including core acquisition and flow testing, with updates to follow upon completion of these tests.
APA (NYSE, Nasdaq: APA) e i partner Lagniappe Alaska e Oil Search hanno annunciato una significativa scoperta di petrolio presso il pozzo esplorativo Sockeye-2 nella North Slope dell'Alaska. Il pozzo, perforato fino a circa 10.500 piedi, ha rivelato un serbatoio di alta qualità con 25 piedi di petrolio netto in una formazione sabbiosa di età paleocenica, caratterizzata da un'impressionante porosità media del 20%.
Il progetto Sockeye si estende su 25.000 a 30.000 acri, con APA che detiene un 50% di interesse operativo, mentre l'operatore Lagniappe e Santos detengono ciascuno il 25%. Sono state scoperte ulteriori zone di pagamento potenziale nella formazione più superficiale Staines Tongue. Questo segna il secondo pozzo esplorativo di successo della partnership nella loro posizione di 325.411 acri, dopo la scoperta di King Street-1 che ha trovato petrolio in due diverse zone brookiane.
I partner stanno attualmente conducendo ulteriori valutazioni, inclusa l'acquisizione di campioni e test di flusso, con aggiornamenti che seguiranno al termine di questi test.
APA (NYSE, Nasdaq: APA) y los socios Lagniappe Alaska y Oil Search han anunciado un importante descubrimiento de petróleo en el pozo exploratorio Sockeye-2 en la North Slope de Alaska. El pozo, perforado a aproximadamente 10,500 pies, reveló un reservorio de alta calidad con 25 pies de petróleo neto en una formación de arena de edad paleocena, con una impresionante porosidad promedio del 20%.
El prospecto Sockeye abarca 25,000 a 30,000 acres, con APA poseyendo un 50% de interés operativo, mientras que el operador Lagniappe y Santos tienen cada uno el 25%. Se descubrieron zonas de pago adicionales en la formación más superficial Staines Tongue. Esto marca el segundo pozo exploratorio exitoso de la asociación en su posición de 325,411 acres, tras el descubrimiento de King Street-1, que encontró petróleo en dos zonas brookianas separadas.
Los socios están llevando a cabo actualmente una evaluación adicional, incluyendo la adquisición de núcleos y pruebas de flujo, con actualizaciones que seguirán una vez completadas estas pruebas.
APA (NYSE, Nasdaq: APA)와 파트너인 Lagniappe Alaska 및 Oil Search가 알래스카 북부 경사면의 Sockeye-2 탐사 유정에서 중요한 석유 발견을 발표했습니다. 이 유정은 약 10,500피트까지 굴착되었으며, 인상적인 20% 평균 다공성을 가진 팔레오세 시대의 모래층에서 25피트의 순 석유 매장량을 드러냈습니다.
Sockeye 프로젝트는 25,000에서 30,000 에이커에 걸쳐 있으며, APA는 50%의 작업 지분을 보유하고 있고, 운영자인 Lagniappe와 Santos는 각각 25%를 보유하고 있습니다. 더 얕은 Staines Tongue 형성에서 추가적인 잠재적 매장 지대가 발견되었습니다. 이는 파트너십의 325,411 에이커 위치에서 두 번째 성공적인 탐사 유정으로, King Street-1 발견 이후 두 개의 브루키안 구역에서 석유를 발견한 것입니다.
파트너들은 현재 코어 획득 및 유량 테스트를 포함한 추가 평가를 진행 중이며, 이 테스트 완료 후 업데이트가 있을 예정입니다.
APA (NYSE, Nasdaq: APA) et ses partenaires Lagniappe Alaska et Oil Search ont annoncé une découverte pétrolière significative au puits exploratoire Sockeye-2 dans la North Slope de l'Alaska. Le puits, foré à environ 10 500 pieds, a révélé un réservoir de haute qualité avec 25 pieds de pétrole net dans une formation de sable d'âge paléocène, présentant une porosité moyenne impressionnante de 20%.
Le projet Sockeye s'étend sur 25 000 à 30 000 acres, avec APA détenant un 50 % d'intérêt opérationnel, tandis que l'opérateur Lagniappe et Santos détiennent chacun 25 %. Des zones de paiement potentielles supplémentaires ont été découvertes dans la formation plus superficielle Staines Tongue. Cela marque le deuxième puits exploratoire réussi du partenariat sur leur position de 325 411 acres, après la découverte de King Street-1 qui a trouvé du pétrole dans deux zones brookiennes distinctes.
Les partenaires effectuent actuellement une évaluation supplémentaire, y compris l'acquisition de carottes et des tests de débit, avec des mises à jour à suivre à l'issue de ces tests.
APA (NYSE, Nasdaq: APA) und die Partner Lagniappe Alaska und Oil Search haben eine bedeutende Ölfundung im Sockeye-2 Erkundungsbohrloch in der North Slope von Alaska angekündigt. Das Bohrloch, das auf etwa 10.500 Fuß gebohrt wurde, offenbarte ein hochqualitatives Reservoir mit 25 Fuß netto Öl in einer sandigen Formation aus dem Paläozän, die eine beeindruckende durchschnittliche Porosität von 20% aufweist.
Das Sockeye-Projekt erstreckt sich über 25.000 bis 30.000 Acres, wobei APA einen 50%igen Arbeitsanteil hält, während der Betreiber Lagniappe und Santos jeweils 25% halten. Zusätzliche potenzielle Zahlungszonen wurden in der flacheren Staines Tongue Formation entdeckt. Dies markiert den zweiten erfolgreichen Erkundungsbohrloch der Partnerschaft auf ihrer 325.411 Acres großen Fläche, nach der Entdeckung von King Street-1, die Öl in zwei separaten brookianischen Zonen fand.
Die Partner führen derzeit weitere Bewertungen durch, einschließlich der Kernakquise und Fließtests, mit Updates, die nach Abschluss dieser Tests folgen werden.
- Significant oil discovery with 25 feet of net oil pay
- High-quality reservoir with better than expected porosity (20%) and permeability
- Large prospect area covering 25,000-30,000 acres
- Additional potential pay zones discovered in Staines Tongue formation
- Second successful exploratory well, derisking numerous additional prospects
- Flow test results still pending and unconfirmed
- Actual production capacity yet to be determined
Insights
This significant oil discovery at the Sockeye-2 well represents a meaningful technical success for APA and partners. The 25 feet of net oil pay might appear modest at first glance, but the 20% average porosity and reportedly superior permeability compared to regional analogues suggest exceptional reservoir quality that could translate to high well productivity.
What's particularly compelling is the substantial areal extent - with amplitude support across 25,000-30,000 acres, indicating this could be a major field development opportunity rather than an isolated discovery. The successful confirmation of their geologic model also substantially derisks the partnership's broader 325,411-acre position.
The upcoming flow test will be critical in determining commerciality. Strong flow rates would validate both the reservoir quality and significantly enhance project economics. Alaska's North Slope geology typically delivers excellent flow rates from high-quality Brookian sands, and the described reservoir characteristics suggest Sockeye-2 could follow this pattern.
With APA holding a 50% working interest, this discovery could materially impact their reserves and production outlook if development proceeds. The mentioned "significant existing infrastructure" is a key advantage that could dramatically reduce development costs and accelerate time-to-production compared to frontier exploration areas.
This Alaska discovery strengthens APA's exploration track record and resource potential outside its core assets. With a 50% working interest in the discovery and broader acreage position, successful development could provide meaningful production growth to offset natural declines in mature assets.
The partnership structure effectively balances risk while maintaining significant upside exposure. Alaska offers attractive fiscal terms compared to international jurisdictions, potentially delivering stronger per-barrel economics despite higher operating costs. The existing infrastructure mentioned would significantly reduce capital intensity for any development scenario.
For context, similar discoveries in Alaska's North Slope have developed into commercial projects producing 10,000-30,000 barrels per day when reservoir characteristics are favorable. The superior porosity and permeability described here could support the higher end of production potential if confirmed through flow testing.
Investors should focus on three key upcoming catalysts: 1) flow test results confirming well productivity, 2) resource estimate announcements following full data integration, and 3) any preliminary development concept studies. The sequential success across both King Street-1 and now Sockeye-2 wells suggests a systematic and effective exploration approach rather than isolated luck.
While full development would require significant capital, the description of "numerous additional prospects" indicates potential for a hub development approach that could optimize returns through shared infrastructure and phased development.
HOUSTON, March 17, 2025 (GLOBE NEWSWIRE) -- APA Corporation (NYSE, Nasdaq: APA) and its partners Lagniappe Alaska, LLC, an Armstong company, and Oil Search (Alaska), LLC, a subsidiary of Santos Limited, today announced preliminary results of the Sockeye-2 exploratory well. Apache holds a
The Sockeye-2 well was drilled to a depth of approximately 10,500 feet and successfully encountered a high-quality reservoir with approximately 25 feet of net oil pay in one blocky, Paleocene-aged sand with an average porosity of
The Sockeye prospect is amplitude supported across 25,000 to 30,000 acres, and confirms the partners’ geologic and geophysical models, derisking numerous additional prospects in the area. Wireline logging is complete and additional data collection is underway, including acquiring core and flow testing the well. The partners will provide further updates following the flow test results.
“The Sockeye-2 test is the second successful exploratory well drilled by the partnership on a 325,411-acre position on state lands. The first well, King Street-1, was a new field discovery with oil in two separate Brookian Zones. The Sockeye-2 well further demonstrates the potential of the play, presenting an exciting opportunity in an active area of the North Slope with significant existing infrastructure,” said Bill Armstrong, CEO of Armstrong Oil & Gas.
“We are very encouraged by the results at the Sockeye-2 well, which further proves our geologic and geophysical models and confirms a working hydrocarbon system. We look forward to the results of the flow test and sharing more information about the broader opportunity in Alaska,” added John J. Christmann, APA Corporation CEO.
About APA
APA Corporation owns consolidated subsidiaries that explore for and produce oil and natural gas in the United States, Egypt and the United Kingdom and that explore for oil and natural gas offshore Suriname and elsewhere. APA posts announcements, operational updates, investor information and press releases on its website, www.apacorp.com.
Forward-Looking Statements
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. Forward-looking statements can be identified by words such as “anticipates,” “intends,” “plans,” “seeks,” “believes,” “continues,” “could,” “estimates,” “expects,” “goals,” “guidance,” “may,” “might,” “outlook,” “possibly,” “potential,” “projects,” “prospects,” “should,” “will,” “would,” and similar references to future periods, but the absence of these words does not mean that a statement is not forward-looking. These statements include, but are not limited to, statements about future plans, expectations, and objectives for operations, including statements about our capital plans, drilling plans, production expectations, asset sales, and monetizations. While forward-looking statements are based on assumptions and analyses made by us that we believe to be reasonable under the circumstances, whether actual results and developments will meet our expectations and predictions depend on a number of risks and uncertainties which could cause our actual results, performance, and financial condition to differ materially from our expectations. See “Risk Factors” in APA’s Form 10-K for the year ended December 31, 2024, and in our quarterly reports on Form 10-Q, filed with the Securities and Exchange Commission for a discussion of risk factors that affect our business. Any forward-looking statement made in this news release speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. APA and its subsidiaries undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future development or otherwise, except as may be required by law.
Contacts
Investor: (281) 302-2286
Media: (713) 296-7276
Website: www.apacorp.com
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