Painting the picture: Anadarko boss Jim Hackett
Anadarko lays out spending plans
US independent Anadarko Petroleum today announced said it would cut its 2009 capital spending to between $4 billion and $4.5 billion, but would increase oil and gas output from 2008.
Total 2009 sales volume is projected to be between 208 million and 212 million barrels of oil equivalent, up from the 206 million boe the company produced in 2008.
The capital program allocates around 20% for exploration and appraisal activities and 20% for the company’s mega-projects, including such developments as the Jubilee field off Ghana, the Caesar/Tonga complex in the deep-water Gulf of Mexico and the El Merk project in Algeria.
“Even with reduced year-over-year capital expenditures, we expect to increase our total sales volumes in 2009, while overcoming the impact of Opec cuts, the uncertainty of processing margins, and continued production shut-ins in the Gulf of Mexico from lingering third-party infrastructure issues related to the 2008 hurricanes,” said Anadarko chairman Jim Hackett.
“Although 2009 will be a challenging year for our industry, we feel a prudent level of funding is appropriate given the economic quality of our current portfolio.”