Anadarko provides post-Rita update

Offshore staff

(GoM) - Anadarko Petroleum Corp. has resumed production from areas disrupted by Hurricane Rita and provided estimated volume impacts.

Anadarko's production in the Gulf of Mexico from the K2 and Marco Polo fields is produced through the Marco Polo platform. The platform sustained no material damage from either Hurricane Rita or Katrina, although its gross volumes totaling approximately 20,000 boe/d were shut-in for a combined 20 days during the third quarter because of the storms.

The Marco Polo field is back on production, and the K2 field is expected to ramp back up to pre-storm levels this week. Onshore Texas and Louisiana operations were disrupted by Hurricane Rita but have been returned to normal levels.

In total, the company estimates that combined onshore and offshore weather-related shut-ins and delays, including those affecting rigs being used to develop the K2, K2 North and Genghis Khan fields in the GoM, reduced third quarter net volumes by 400,000 boe.

Full-year 2005 net volumes are expected to be reduced by approximately 2.2 MMboe due to the shut-ins and ongoing effects of the delayed development activity, including delays due to loop currents. These delays are also expected to reduce 2006 net volumes by approximately 2 MMboe.

The following is an update on Anadarko's exploration and development operations in the deepwater GoM:

TheEnsco 7500 drilling rig assigned to the Genghis Khan field on Green Canyon (GC) block 652 and Transocean's Deepwater Millennium drillship assigned to the Daredevil prospect (Lloyd Ridge 95) sustained no material damage and resumed operations following brief shutdowns for the storm. Anadarko is operator with 100% working interests in these blocks.

The NoblePaul Romano rig assigned to K2 North field (GC 518) development received damages to the mooring system from Hurricane Rita and is undergoing repairs.

Global Santa Fe'sCeltic Sea rig assigned to K2 field (GC 562) development was damaged by both hurricanes and is undergoing repairs.

Anadarko also has interests in three currently drilling non-operated exploration wells. Rigs assigned to the Unocal-operated Knotty Head prospect (GC 512) and the Chevron-operated Big Foot prospect (Walker Ridge 29) have resumed operations, but the rig assigned to the Shell-operated Pathfinder prospect (GC 390) is undergoing repairs for damage inflicted by both hurricanes.

10/05/05