BUSINESS SEGMENT INFORMATION

Apache is engaged in a single line of business. Both domestically and internationally, the Company explores for, develops, and produces natural gas, crude oil and natural gas liquids. At December 31, 2017, the Company had operations in three reporting segments: the U.S., Egypt, and the North Sea. Apache also has exploration interests in Suriname that may, over time, result in a reportable discovery and development opportunity. In the second quarter of 2015, Apache completed the sale of its Australian LNG business and oil and gas assets, and as such the results of Australia oil and gas assets have been classified as discontinued operations. Financial information for each area is presented below:



	United States		Canada⁽¹⁾			Egypt⁽²⁾		North Sea			Other International			Total⁽²⁾
	(In millions)
2017
Oil and gas production revenues	$	2,271	$	231		$	2,307	$	1,078		$	—		$	5,887
Operating Expenses:
Lease operating expenses	600		103			362		335			—			1,400
Gathering and transportation	71		34			44		30			—			179
Taxes other than income	153		12			—		(14		)	—			151
Depreciation, depletion, and amortization	1,000		76			758		446			—			2,280
Exploration	363		11			62		86			27			549
Asset retirement obligation accretion	31		27			—		72			—			130
Impairments	—		—			—		8			—			8
Operating Income (Loss)	$	53	$	(32	)	$	1,081	$	115		$	(27	)	1,190
Other Income (Expense):
Gain on divestitures, net														627
Derivative instrument gains (losses), net														(135		)
Other														44
General and administrative														(395		)
Transaction, reorganization, and separation														(16		)
Financing costs, net														(397		)
Income Before Income Taxes														$	918
Net Property and Equipment	$	12,070	$	—		$	3,099	$	2,553		$	37		$	17,759
Total Assets	$	14,228	$	—		$	4,658	$	2,977		$	59		$	21,922
Additions to Net Property and Equipment	$	2,397	$	—		$	517	$	374		$	14		$	3,302



	United States			Canada			Egypt⁽²⁾		North Sea			Other International			Total⁽²⁾
	(In millions)
2016
Oil and gas production revenues	$	1,997		$	343		$	2,057	$	970		$	—		$	5,367
Operating Expenses:
Lease operating expenses	553			181			446		314			—			1,494
Gathering and transportation	80			68			44		8			—			200
Taxes other than income	139			20			—		(33		)	—			126
Depreciation, depletion, and amortization	1,138			183			778		519			—			2,618
Exploration	285			88			48		37			15			473
Asset retirement obligation accretion	34			47			—		75			—			156
Impairments	80			367			1		655			—			1,103
Operating Income (Loss)	$	(312	)	$	(611	)	$	740	$	(605	)	$	(15	)	(803		)
Other Income (Expense):
Gain on divestitures, net															21
Other															(34		)
General and administrative															(410		)
Transaction, reorganization, and separation															(39		)
Financing costs, net															(417		)
Net Loss From Continuing Operations Before Income Taxes															$	(1,682	)
Net Property and Equipment	$	11,168		$	1,464		$	3,362	$	2,834		$	39		$	18,867
Total Assets	$	12,403		$	1,591		$	4,893	$	3,584		$	48		$	22,519
Additions to Net Property and Equipment	$	926		$	34		$	459	$	260		$	2		$	1,681



2015
Oil and gas production revenues	$	2,637		$	498		$	2,095		$	1,280		$	—		$	6,510
Operating Expenses:
Lease operating expenses	739			244			522			349			—			1,854
Gathering and transportation	68			89			45			9			—			211
Taxes other than income	184			26			9			63			—			282
Depreciation, depletion, and amortization	1,558			301			927			514			—			3,300
Exploration	2,145			231			154			237			4			2,771
Asset retirement obligation accretion	28			43			—			74			—			145
Impairments	6,266			1,593			1,255			211			147			9,472
Operating Loss	$	(8,351	)	$	(2,029	)	$	(817	)	$	(177	)	$	(151	)	(11,525		)
Other Income (Expense):
Gain on divestitures, net																281
Other																98
General and administrative																(380		)
Transaction, reorganization, and separation																(132		)
Financing costs, net																(511		)
Net Loss From Continuing Operations Before Income Taxes																$	(12,169	)
Net Property and Equipment	$	11,753		$	2,074		$	3,712		$	3,263		$	36		$	20,838
Total Assets	$	12,782		$	2,225		$	6,165		$	4,280		$	48		$	25,500
Additions to Net Property and Equipment	$	2,099		$	403		$	862		$	715		$	27		$	4,106


(1)	During the third quarter of 2017, Apache completed the sale of its Canadian operations. For more information regarding this divestiture, please refer to Note 2—Acquisitions and Divestitures.


(2)	Includes a noncontrolling interest in Egypt.