APA Expects UK North Sea Production To Dip Sequentially In Q4

APA Corp APA provided supplemental information regarding Q3 FY23 financial results to be announced on November 2, 2023.

The company expects adjusted production and adjusted oil production in the upper half of its guidance range of 337-339 Mboe/d and 159-161 Mboe/d, respectively, mainly aided by strong Permian oil and U.K. North Sea volumes. 

The company sees Egypt's gross oil production of around 145 thousand barrels per day, slightly below its guidance of 148 thousand barrels per day.

The company forecasts estimated average realized prices of $82.00/ bbl for oil, $21.50/ bbl for NGL, and $2.00/ Mcf for Natural Gas in the U.S. in Q3.

For international business, estimated average realized prices were $88.00 bbl for oil, $50.00 bbl for NGL, and $4.25 Mcf for Natural Gas in Q3.

For Q4, APA projects production in the U.K. North Sea to decline by 10% to 15% vs. Q3 due to unscheduled compressor motor repairs, which will require platform downtime through the end of the year.

In August, the company reported Q2 adjusted production of 325 Mboe/d and an adjusted oil production of 154 Mboe/d on strong execution in Egypt and the U.S.

Price Action: APA shares closed lower by 0.74% at $37.73 on Thursday.