SUPPLEMENTAL OIL AND GAS DISCLOSURES (Unaudited) (Tables)

12 Months Ended

Dec. 31, 2012

Revenue and Direct Cost Information Relating to Company's Oil and Gas Exploration and Production Activities

The following table sets forth revenue and direct cost information relating to the Company’s oil and gas exploration and production activities. Apache has no long-term agreements to purchase oil or gas production from foreign governments or authorities.

	United States		Canada			Egypt		Australia		North Sea		Argentina		Other International			Total
	(In millions, except per boe)
2012
Oil and gas production revenues	$	6,226	$	1,322		$	4,554	$	1,575	$	2,751	$	519	$	—		$	16,947
Operating cost:
Depreciation, depletion, and amortization
Recurring(1)		1,984		580			924		460		912		225		—			5,085
Additional		—		1,883			—		—		—		—		43			1,926
Asset retirement obligation accretion		112		41			—		17		58		4		—			232
Lease operating expenses		1,386		458			410		215		315		184		—			2,968
Gathering and transportation		69		163			39		—		24		8		—			303
Production taxes(2)		279		42			—		11		451		34		—			817
Income tax		851		(466	)		1,527		262		614		22		—			2,810
		4,681		2,701			2,900		965		2,374		477		43			14,141
Results of operation	$	1,545	$	(1,379	)	$	1,654	$	610	$	377	$	42	$	(43	)	$	2,806
Amortization rate per boe	$	17.24	$	11.66		$	13.81	$	17.67	$	32.65	$	12.39	$	—		$	16.88
2011
Oil and gas production revenues	$	6,103	$	1,617		$	4,791	$	1,734	$	2,091	$	474	$	—		$	16,810
Operating cost:
Depreciation, depletion, and amortization
Recurring(1)		1,634		537			818		435		405		195		—			4,024
Additional		—		—			—		—		—		—		109			109
Asset retirement obligation accretion		97		26			—		10		17		4		—			154
Lease operating expenses		1,167		470			398		197		208		165		—			2,605
Gathering and transportation		64		165			35		—		25		7		—			296
Production taxes(2)		255		44			—		9		538		19		—			865
Income tax		1,025		95			1,699		325		557		29		—			3,730
		4,242		1,337			2,950		976		1,750		419		109			11,783
Results of operation	$	1,861	$	280		$	1,841	$	758	$	341	$	55	$	(109	)	$	5,027
Amortization rate per boe	$	15.55	$	10.44		$	11.63	$	16.59	$	20.21	$	10.87	$	—		$	13.97
2010
Oil and gas production revenues	$	4,300	$	1,074		$	3,372	$	1,459	$	1,606	$	372	$	—		$	12,183
Operating cost:
Depreciation, depletion, and amortization Recurring(1)		1,126		287			754		403		301		157		—			3,028
Asset retirement obligation accretion		62		23			—		9		15		2		—			111
Lease operating expenses		924		334			298		185		168		123		—			2,032
Gathering and transportation		42		75			31		—		25		5		—			178
Production taxes(2)		177		31			—		11		423		14		—			656
Income tax		699		82			1,099		255		337		25		—			2,497
		3,030		832			2,182		863		1,269		326		—			8,502
Results of operation	$	1,270	$	242		$	1,190	$	596	$	337	$	46	$	—		$	3,681
Amortization rate per boe	$	13.23	$	8.13		$	11.05	$	13.38	$	14.42	$	9.56	$	—		$	11.92

(1) This amount only reflects DD&A of capitalized costs of oil and gas proved properties and, therefore, does not agree with DD&A reflected on Note 13 — Business Segment Information.

(2) This amount only reflects amounts directly related to oil and gas producing properties and, therefore, does not agree with taxes other than income reflected on Note 13 — Business Segment Information.

Costs Incurred in Oil and Gas Property Acquisitions, Exploration and Development Activities

Costs Incurred in Oil and Gas Property Acquisitions, Exploration, and Development Activities

	United  States		Canada		Egypt			Australia		North Sea		Argentina		Other International		Total
	(In millions)
2012
Acquisitions:
Proved	$	1,076	$	5	$	28		$	32	$	110	$	—	$	—	$	1,251
Unproved		2,329		—		—			—		26		—		—		2,355
Exploration		1,369		111		696			149		111		157		96		2,689
Development		4,465		762		394			915		837		161		2		7,536
Costs incurred(1)	$	9,239	$	878	$	1,118		$	1,096	$	1,084	$	318	$	98	$	13,831
(1) Includes capitalized interest and asset retirement costs as follows:
Capitalized interest	$	215	$	38	$	16		$	12	$	24	$	11	$	—	$	316
Asset retirement costs		473		245		—			207		89		18		—		1,032
2011
Acquisitions:
Proved	$	368	$	—	$	(12	)	$	—	$	2,399	$	—	$	—	$	2,755
Unproved		116		33		2			48		476		—		13		688
Exploration		418		209		570			286		18		202		59		1,762
Development		2,832		883		344			429		941		156		2		5,587
Costs incurred(1)	$	3,734	$	1,125	$	904		$	763	$	3,834	$	358	$	74	$	10,792
(1) Includes capitalized interest and asset retirement costs as follows:
Capitalized interest	$	152	$	47	$	18		$	14	$	—	$	12	$	—	$	243
Asset retirement costs		380		228		—			125		678		—		—		1,411
2010
Acquisitions:
Proved	$	5,604	$	2,752	$	325		$	—	$	—	$	—	$	—	$	8,681
Unproved		2,497		542		145			32		—		—		—		3,216
Exploration		261		312		477			236		142		136		20		1,584
Development		1,724		611		290			496		475		131		—		3,727
Costs incurred(1)	$	10,086	$	4,217	$	1,237		$	764	$	617	$	267	$	20	$	17,208
(1) Includes capitalized interest and asset retirement costs as follows:
Capitalized interest	$	52	$	23	$	10		$	15	$	—	$	11	$	—	$	111
Asset retirement costs		1,099		98		—			93		—		16		—		1,306

Capitalized Costs

The following table sets forth the capitalized costs and associated accumulated depreciation, depletion, and amortization, including impairments, relating to the Company’s oil and gas production, exploration, and development activities:

	United States			Canada			Egypt			Australia			North Sea			Argentina			Other International			Total
	(In millions)
2012
Proved properties	$	40,163		$	13,477		$	7,165		$	6,319		$	8,401		$	2,706		$	152		$	78,383
Unproved properties		5,641			1,059			686			284			626			382			76			8,754
		45,804			14,536			7,851			6,603			9,027			3,088			228			87,137
Accumulated DD&A		(17,968	)		(8,899	)		(4,474	)		(2,478	)		(3,445	)		(1,562	)		(152	)		(38,978	)
	$	27,836		$	5,637		$	3,377		$	4,125		$	5,582		$	1,526		$	76		$	48,159
2011
Proved properties	$	33,905		$	12,619		$	6,117		$	5,183		$	7,430		$	2,442		$	109		$	67,805
Unproved properties		2,690			1,093			615			270			513			327			22			5,530
		36,595			13,712			6,732			5,453			7,943			2,769			131			73,335
Accumulated DD&A		(16,013	)		(6,506	)		(3,672	)		(2,061	)		(2,550	)		(1,343	)		(109	)		(32,254	)
	$	20,582		$	7,206		$	3,060		$	3,392		$	5,393		$	1,426		$	22		$	41,081

Summary of Oil and Gas Property Costs Not Being Amortized

The following table sets forth a summary of oil and gas property costs not being amortized at December 31, 2012, by the year in which such costs were incurred. There are no individually significant properties or significant development projects included in costs not being amortized. The majority of the evaluation activities are expected to be completed within five to ten years.

	Total		2012		2011		2010		2009 and Prior
	(In millions)
Property acquisition costs	$	6,998	$	3,558	$	981	$	2,146	$	313
Exploration and development		1,550		1,108		368		16		58
Capitalized interest		206		48		27		55		76
Total	$	8,754	$	4,714	$	1,376	$	2,217	$	447

Proved Reserve Data

There are numerous uncertainties inherent in estimating quantities of proved reserves and projecting future rates of production and timing of development expenditures. The following reserve data only represent estimates and should not be construed as being exact.

	Crude Oil, Condensate and Natural Gas Liquids																					Natural Gas																					Total
	(Thousands of barrels)																					(Millions of cubic feet)																					(Thousands
	United States			Canada			Egypt			Australia			North Sea			Argentina			Total			United States			Canada			Egypt			Australia			North Sea			Argentina			Total			barrels of oil equivalent)
Proved developed reserves:
December 31, 2009		373,010			89,222			97,787			34,662			142,022			25,985			762,688			1,785,155			1,436,151			838,000			699,963			4,851			473,145			5,237,265			1,635,565
December 31, 2010		514,537			113,993			109,657			48,072			115,705			22,458			924,422			2,284,116			2,181,615			748,573			682,763			4,144			462,206			6,363,417			1,984,991
December 31, 2011		535,741			105,102			105,840			35,725			145,743			21,940			950,091			2,215,973			2,108,801			700,866			675,618			105,028			447,132			6,253,418			1,992,327
December 31, 2012		629,345			101,691			106,746			29,053			122,073			20,852			1,009,760			2,353,587			1,734,657			690,436			596,052			93,319			365,054			5,833,105			1,981,945
Proved undeveloped reserves:
December 31, 2009		150,627			57,552			17,806			43,779			29,692			5,104			304,560			652,766			869,197			321,141			661,478			—			54,184			2,558,766			731,021
December 31, 2010		244,478			60,997			17,470			18,064			38,663			4,641			384,313			988,869			1,310,352			328,344			805,735			—			70,465			3,503,765			968,274
December 31, 2011		258,306			67,939			22,195			32,220			32,924			5,800			419,384			760,238			1,438,710			282,100			893,966			3,414			90,427			3,468,855			997,527
December 31, 2012		263,957			82,908			17,288			34,808			28,399			3,857			431,217			832,320			403,227			205,055			1,074,018			18,985			97,496			2,631,101			869,734
Total proved reserves:
Balance December 31, 2009		523,637			146,774			115,593			78,441			171,714			31,089			1,067,248			2,437,921			2,305,348			1,159,141			1,361,441			4,851			527,329			7,796,031			2,366,586
Extensions, discoveries and other additions		72,928			6,816			41,205			4,452			3,383			426			129,210			102,180			274,755			46,692			199,958			166			71,632			695,383			245,108
Purchase of minerals in-place		195,131			42,440			11,261			—			—			—			248,832			951,654			1,064,618			49,044			—			—			—			2,065,316			593,051
Revisions of previous estimates		7,597			(14,592	)		(4,723	)		—			—			379			(11,339	)		47,989			(8,211	)		(41,137	)		—			—			1,173			(186	)		(11,370	)
Production		(40,278	)		(6,375	)		(36,209	)		(16,757	)		(20,729	)		(4,795	)		(125,143	)		(266,759	)		(144,542	)		(136,823	)		(72,901	)		(873	)		(67,463	)		(689,361	)		(240,037	)
Sale of properties		—			(73	)		—			—			—			—			(73	)		—			(1	)		—			—			—			—			(1	)		(73	)
Balance December 31, 2010		759,015			174,990			127,127			66,136			154,368			27,099			1,308,735			3,272,985			3,491,967			1,076,917			1,488,498			4,144			532,671			9,867,182			2,953,265
Extensions, discoveries and other additions		89,591			22,602			45,039			15,762			404			5,014			178,412			169,506			505,049			77,049			148,640			475			81,274			981,993			342,078
Purchase of minerals in-place		5,683			752			—			—			43,803			—			50,238			67,595			8,838			—			—			104,658			—			181,091			80,420
Revisions of previous estimates		(7,191	)		(16,343	)		(6,185	)		—			—			232			(29,487	)		(7,716	)		(133,359	)		(37,623	)		—			—			1,107			(177,591	)		(59,086	)
Production		(51,658	)		(7,376	)		(37,946	)		(13,953	)		(19,908	)		(4,605	)		(135,446	)		(315,631	)		(230,880	)		(133,377	)		(67,554	)		(835	)		(77,493	)		(825,770	)		(273,074	)
Sale of properties		(1,393	)		(1,584	)		—			—			—			—			(2,977	)		(210,528	)		(94,104	)		—			—			—			—			(304,632	)		(53,749	)
Balance December 31, 2011		794,047			173,041			128,035			67,945			178,667			27,740			1,369,475			2,976,211			3,547,511			982,966			1,569,584			108,442			537,559			9,722,273			2,989,854
Extensions, discoveries and other additions		156,621			26,590			36,188			6,277			592			1,133			227,401			365,863			252,130			55,967			176,969			16,397			2,623			869,949			372,393
Purchase of minerals in-place		16,172			197			—			276			2,374			—			19,019			313,885			2,503			—			1,745			8,494			—			326,627			73,457
Revisions of previous estimates		(12,033	)		(7,146	)		(3,678	)		(66	)		(7,257	)		502			(29,678	)		(156,840	)		(1,443,989	)		(13,974	)		101			—			496			(1,614,206	)		(298,712	)
Production		(61,361	)		(8,083	)		(36,511	)		(10,571	)		(23,904	)		(4,666	)		(145,096	)		(312,600	)		(219,849	)		(129,468	)		(78,329	)		(21,029	)		(78,128	)		(839,403	)		(284,997	)
Sale of properties		(144	)		—			—			—			—			—			(144	)		(612	)		(422	)		—			—			—			—			(1,034	)		(316	)
Balance December 31, 2012		893,302			184,599			124,034			63,861			150,472			24,709			1,440,977			3,185,907			2,137,884			895,491			1,670,070			112,304			462,550			8,464,206			2,851,679

Unaudited Information of Future Net Cash Flows For Oil and Gas Reserves, Net of Income Tax Expense

The following table sets forth unaudited information concerning future net cash flows for proved oil and gas reserves, net of income tax expense. Income tax expense has been computed using expected future tax rates and giving effect to tax deductions and credits available, under current laws, and which relate to oil and gas producing activities. This information does not purport to present the fair market value of the Company’s oil and gas assets, but does present a standardized disclosure concerning possible future net cash flows that would result under the assumptions used.

	United States			Canada			Egypt			Australia			North Sea			Argentina			Total
	(In millions)
2012
Cash inflows	$	84,060		$	20,512		$	16,210		$	20,823		$	16,732		$	3,010		$	161,347
Production costs		(27,230	)		(8,543	)		(2,126	)		(4,896	)		(8,451	)		(1,162	)		(52,408	)
Development costs		(6,768	)		(2,916	)		(1,756	)		(2,484	)		(3,053	)		(248	)		(17,225	)
Income tax expense		(12,740	)		(754	)		(4,246	)		(3,172	)		(3,163	)		(141	)		(24,216	)
Net cash flows		37,322			8,299			8,082			10,271			2,065			1,459			67,498
10 percent discount rate		(19,464	)		(4,472	)		(2,107	)		(6,361	)		(98	)		(443	)		(32,945	)
Discounted future net cash flows(1)	$	17,858		$	3,827		$	5,975		$	3,910		$	1,967		$	1,016		$	34,553
2011
Cash inflows	$	85,041		$	27,727		$	17,092		$	20,579		$	19,012		$	3,082		$	172,533
Production costs		(25,379	)		(13,142	)		(2,467	)		(3,588	)		(8,810	)		(1,190	)		(54,576	)
Development costs		(6,493	)		(3,274	)		(1,909	)		(3,124	)		(3,003	)		(232	)		(18,035	)
Income tax expense		(15,351	)		(972	)		(4,565	)		(3,455	)		(4,453	)		(184	)		(28,980	)
Net cash flows		37,818			10,339			8,151			10,412			2,746			1,476			70,942
10 percent discount rate		(20,311	)		(4,956	)		(2,168	)		(6,624	)		(493	)		(443	)		(34,995	)
Discounted future net cash flows(1)	$	17,507		$	5,383		$	5,983		$	3,788		$	2,253		$	1,033		$	35,947

(1) Estimated future net cash flows before income tax expense, discounted at 10 percent per annum, totaled approximately $48.2 billion and $52.3 billion as of December 31, 2012 and 2011, respectively.

Principal Sources of Change In Discounted Future Net Cash Flows

The following table sets forth the principal sources of change in the discounted future net cash flows:

	For the Year Ended December 31,
	2012			2011			2010
	(In millions)
Sales, net of production costs	$	(12,589	)	$	(13,152	)	$	(9,152	)
Net change in prices and production costs		(1,941	)		12,167			13,006
Discoveries and improved recovery, net of related costs		6,742			6,751			5,147
Change in future development costs		(935	)		(2,250	)		(1,637	)
Previously estimated development costs incurred during the period		4,359			2,479			1,355
Revision of quantities		(4,065	)		(1,475	)		(1,905	)
Purchases of minerals in-place		1,181			2,139			7,794
Accretion of discount		5,234			4,161			2,439
Change in income taxes		2,711			(4,303	)		(4,535	)
Sales of properties		(3	)		(1,285	)		(3	)
Change in production rates and other		(2,088	)		273			182
	$	(1,394	)	$	5,505		$	12,691