APA (APA) risk factors: FY2025 10-K

1. Crude oil, natural gas, and NGL prices and their volatility could adversely affect the Company’s operating results and the price of APA’s common stock.
2. The Company’s ability to sell crude oil, natural gas, or NGLs, receive market prices for these commodities, meet volume commitments under transportation services agreements, and/or economically market third-party volumes may be adversely affected by pipeline and gathering system capacity changes, the inability to procure and resell volumes economically, various transportation interruptions or expansions, and the financial distress or insolvency of midstream or transportation providers that could reduce available capacity or disrupt service.reworded
3. The Company’s commodity price and other risk management and trading activities, including interest rate and foreign exchange hedging, and contracts priced in foreign currencies may prevent it from benefiting fully from price increases and market movements and may expose it to other risks.rewordedInterest rates
4. Public health events, workforce disruptions, or similar global or regional events have previously and may in the future adversely impact the Company’s business, financial condition, and results of operations.new

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1. The Company’s operations involve a high degree of operational risk, particularly risk of personal injury, damage to or loss of property, and environmental accidents.
2. The Company has previously not realized, and may in the future not realize, an adequate return on wells that it drills.
3. Frontier exploration and development projects, including those in new or re-entered jurisdictions, involve heightened operational, regulatory, and execution risks that could adversely affect the Company’s results of operations and financial condition.new
4. The Company’s insurance policies do not cover all of the risks the Company faces, which could result in significant financial exposure.
5. A cyberattack targeting systems and infrastructure used by the Company or others in the oil and gas industry may adversely impact the Company’s operations.Cybersecurity
6. Material differences between the estimated and actual timing of critical events or costs may affect the completion and commencement of production from development projects.

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1. Discoveries or acquisitions of additional reserves are needed to avoid a material decline in reserves and production.
2. The Company may fail to fully identify potential problems related to acquired reserves or to properly estimate those reserves.
3. Crude oil, natural gas, and NGL reserves are estimates, and actual recoveries may vary significantly.
4. Certain of the Company’s undeveloped leasehold acreage is subject to leases that will expire over the next several years unless production is established on units containing the acreage.

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1. The credit risk of financial institutions could adversely affect the Company and result in a significant loss.
2. The distressed financial conditions of the Company’s partners and the purchasers of the Company’s products or assets have had and could have an adverse impact on the Company in the event they are unable to reimburse the Company for their share of costs or to pay the Company for the products or services the Company provides.
3. The Company’s liabilities, including for the decommissioning of previously owned assets, could be adversely affected in the event one or more of its transaction counterparties are financially distressed or become the subject of a bankruptcy case.
4. The Company does not always control decisions made under joint operating agreements or joint ventures, and the parties to such agreements or ventures may fail to meet their obligations.

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1. A downgrade in the Company’s credit rating could negatively impact its cost of and ability to access capital.
2. Market conditions may restrict the Company’s ability to obtain funds for future development and working capital needs, which may limit its financial flexibility.
3. The Company’s ability to declare and pay dividends, and to repurchase common stock, is subject to limitations.
4. Actions by advocacy groups to advance climate change and energy transition initiatives, unfavorable ESG ratings, and funding limitation initiatives may lead to negative investor and public sentiment toward the Company and to the diversion of capital from companies in the oil and gas industry, which could negatively impact the Company’s access to and costs of capital or the market for the Company’s securities.
5. The Company faces strong industry competition that may have a significant negative impact on the Company’s results of operations.
6. The Company’s ability to utilize net operating losses and other tax attributes to reduce future taxable income may be limited if the Company experiences an ownership change.
7. The Company’s ability to realize its deferred tax assets may be limited if it experiences changes in expected future cash flows related to reserves or ARO.
8. APA is a holding company and is dependent on the operations of and distributions from its subsidiaries, including Apache.

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1. The Company may incur significant costs related to environmental matters.
2. The Company’s U.S. operations are subject to governmental risks.
3. Proposed federal, state, or local regulation regarding hydraulic fracturing could increase the Company’s operating and capital costs.
4. Changes in tax rules and regulations, or interpretations thereof, may adversely affect the Company’s business, financial condition, and results of operations.
5. Changes to laws, regulations, guidance, and industry standards, or interpretations thereof, or higher than anticipated costs for asset retirement and decommissioning obligations could adversely affect the Company’s results of operations and cash flows.new

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1. The impacts of climate change, energy transition policies, and ESG-related initiatives could adversely affect the Company’s business, operating results, and financial condition.reworded
2. Weather and climate may have a significant adverse impact on the Company’s revenues and production.
3. Changes to existing regulations related to emissions and the impact of any changes in climate could adversely impact the Company’s business.
4. Enhanced focus on ESG matters could have an adverse effect on the Company’s operations.
5. The Company’s estimates used in various scenario planning analyses could differ materially from actual results and could expose the Company to new or additional risks.
6. The treatment and disposal of produced water is becoming more highly regulated and restricted and could expose the Company to additional costs or limit certain operations.

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1. International operations have uncertain political, economic, and other risks.
2. A deterioration of conditions in Egypt or changes in the economic and political environment in Egypt could have an adverse impact on the Company’s business.reworded
3. The Company’s operations are sensitive to currency rate fluctuations.

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1. Certain anti-takeover provisions in the Company’s charter and Delaware law could delay or prevent a hostile takeover.

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Headings in the FY2024 10-K with no match this year.

1. Global pandemics have previously, may continue to, and may in the future adversely impact the Company’s business, financial condition, and results of operations; the global economy; the demand for and prices of oil, natural gas, and NGLs; and the performance of the Company’s workforce.