Offshore staff
HOUSTON– Apache Corp. says it has completed its merger with Mariner Energy. The merger closed on Nov. 10 following its approval by Mariner's stockholders and subsequent completion of documentation. Apache issued approximately 17.5 million shares of its common stock and paid approximately $800 million in cash to Mariner stockholders.
Apache also assumed Mariner's debt with current fair value of approximately $1.6 billion. As a result of the merger, former Mariner stockholders own approximately 5% of Apache's outstanding shares of common stock. At a special meeting, 79% of Mariner's stockholders voted to approve the merger.
"The Mariner merger — along with our $7-billion acquisition of BP's upstream operating regions in the Permian Basin, Canada and Egypt and our earlier $1 billion acquisition of Devon's Gulf of Mexico Shelf assets — will provide Apache with a rich inventory of growth and value-enhancement opportunities for years to come," said G. Steven Farris, Apache's chairman and chief executive officer.
At year-end 2009, Mariner had estimated proved reserves of 181 MMboe (47% liquid hydrocarbons) in the Gulf Shelf and deepwater, onshore Gulf Coast, Permian Basin and unconventional onshore plays, as well as unbooked resource potential of 2 Bboe. Mariner's deepwater portfolio includes 125 blocks, seven discoveries in development — including interests in the world-class Lucius and Heidelberg discoveries — and more than 50 prospects. During the third quarter, Mariner produced 51,348 boe per day.
