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Stock Market & Financial Investment News

News Breaks
August 30, 2013
10:31 EDTSNP, APAApache advances after selling stake in Egypt business
Shares of energy explorer Apache (APA) are climbing after the company announced that it had sold a 33% stake in its Egyptian business to a Chinese company. WHAT'S NEW: Apache last night announced that it had sold a 33% stake in its Egyptian oil and gas business to China's Sinopec International Petroleum (SNP). Apache noted that it would continue to operate its Egypt upstream oil and gas business. ANALYST REACTION: A number of analysts reacted positively to the news. The transaction is "a game-changer," Deutsche Bank analyst Stephen Richardson wrote in a note to investors. The deal enables Apache to obtain significant value from an asset to which the market had given low value, he believes. As a result of the deal, Egyptian assets constitute only 15% of Apache's production, down from 20% last year, the analyst wrote. He kept a $105 price target and Buy rating on the shares. Similarly, Wells Fargo analyst David Tameron wrote that the deal is positive for Apache's stock, as many on the Street had doubted whether the company could sell its Egyptian assets for a significant amount. Apache received a much higher value for the assets than the Street had expected, and the company can use the funds to reduce its debt or buy back more of its shares, added Tameron. Moreover, the transaction could force those shorting the stock to buy back shares, propelling the shares higher, Tameron believes. He kept an Outperform rating on the stock. PRICE ACTION: In mid-morning trading, Apache climbed $6.30, or 8%, to $85.
News For APA;SNP From The Last 14 Days
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March 31, 2015
08:13 EDTAPAApache reports results from discoveries in Egypt's western desert
Apache reported strong appraisal- and development-drilling results from Egypt following the previously announced discovery of two new oil fields in the Western Desert. The initial discoveries were announced with the fourth quarter 2014 results on Feb. 12, 2015. Development leases were approved by the Egyptian General Petroleum Corporation and Ministry of Petroleum in record time, taking only 13 days from submission of the development plan for Berenice, and only six days for Ptah. The Berenice and Ptah fields are located in the Faghur Basin along the same fault trend in the Khalda Offset Concession. Exploration and drilling efforts are targeting rock from both the Mesozoic and deeper Paleozoic eras. These targets are a PRIMARY focus for Apache Egypt and have proven successful in this area with oil and gas discoveries made at the nearby Shu-1X, Apries-1X, Bat-1X and Geb-1X wells, although Ptah is the largest new field found in the play thus far. Five wells, including the discovery wells, have been completed to date by Khalda Petroleum Company, Apache's joint-venture company with EGPC. All five wells are producing without the need for fracture stimulation at a combined rate of more than 13,600 barrels of oil per day with first production starting in November 2014. The wells have produced approximately 1 million barrels of oil to date. Apache has invested $14 million to install production facilities and plans to invest another $35 million to handle the forecasted production increase. The Berenice field started producing light oil from the Cretaceous-aged Alam El Buieb formations in November 2014. Three wells are currently producing more than 9,500 bbl/d from a 700-acre drainage area with pay zones that range between 38 feet and 142 feet. The Ptah field started producing light oil from the Paleozoic-aged Shiffah Formation in December 2014. This field also has substantial target zones logged in the AEB-3D/-3E formations that have yet to be tested. In the Shiffah, the field discovery well is currently producing 2,350 bbl/d and a second well started production in March 2015 at a rate of 2,000 bbl/d.
March 23, 2015
10:00 EDTAPAOn The Fly: Analyst Downgrade Summary
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08:15 EDTAPAApache downgraded to Neutral from Buy at Citigroup
Citigroup downgraded Apache to Neutral after resuming coverage of the stock and cut its price target for shares to $60 from $74.
March 22, 2015
13:06 EDTSNPSinopec sees global crude oil price to remain weak for foreseeable future
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13:03 EDTSNPSinopec reports FY14 net profit RMB46.5B vs.RMB66.13B in FY13
Reports FY14 revenue RMB2.83T vs. RMB2.9T in FY13.

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