APA : First-Quarter 2024 Financial and Operational Supplement

First-Quarter 2024

Financial and Operational Supplement

May 1, 2024

Notice to Investors

Certain statements in this earnings supplement contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 including, without limitation, expectations, beliefs, plans, and objectives regarding anticipated financial and operating results, asset divestitures, estimated reserves, drilling locations, capital expenditures, price estimates, typical well results and well profiles, type curve, and production and operating expense guidance included in this earnings supplement. Any matters that are not historical facts are forward looking and, accordingly, involve estimates, assumptions, risks, and uncertainties, including, without limitation, risks, uncertainties, and other factors discussed in our most recently filed Annual Report on Form 10-K, recently filed Quarterly Reports on Form 10-Q, recently filed Current Reports on Form 8-K available on our website, www.apacorp.com, and in our other public filings and press releases. These forward-looking statements are based on APA Corporation's (APA) current expectations, estimates, and projections about the company, its industry, its management's beliefs, and certain assumptions made by management. No assurance can be given that such expectations, estimates, or projections will prove to have been correct. A number of factors could cause actual results to differ materially from the projections, anticipated results, or other expectations expressed in this earnings supplement, including the company's ability to meet its production targets, successfully manage its capital expenditures and to complete, test, and produce the wells and prospects identified in this earnings supplement, to successfully plan, secure necessary government approvals, finance, build, and operate the necessary infrastructure, and to achieve its production and budget expectations on its projects.

Whenever possible, these "forward-looking statements" are identified by words such as "anticipates," "intends," "plans," "seeks," "believes," "continues," "could," "estimates," "expects," "goals," "guidance," "may," "might," "outlook," "possible," "potential," "projects," "prospects," "should," "would," "will," and similar phrases, but the absence of these words does not mean that a statement is not forward-looking. Because such statements involve risks and uncertainties, the company's actual results and performance may differ materially from the results expressed or implied by such forward-looking statements. Given these risks and uncertainties, you are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof. Unless legally required, we assume no duty to update these statements as of any future date. However, you should review carefully reports and documents that the company files periodically with the Securities and Exchange Commission.

Cautionary Note to Investors: The United States Securities and Exchange Commission (SEC) permits oil and gas companies, in their filings with the SEC, to disclose only proved, probable, and possible reserves that meet the SEC's definitions for such terms. We may use certain terms in this earnings supplement, such as "resource," "resource potential," "net resource potential," "potential resource," "resource base," "identified resources," "potential net recoverable," "potential reserves," "unbooked resources," "economic resources," "net resources," "undeveloped resource," "net risked resources," "inventory," "upside," and other similar terms that the SEC guidelines strictly prohibit us from including in filings with the SEC. Such terms do not take into account the certainty of resource recovery, which is contingent on exploration success, technical improvements in drilling access, commerciality, and other factors, and are therefore not indicative of expected future resource recovery and should not be relied upon. Investors are urged to consider carefully the disclosure in APA's Annual Report on Form 10-K for the fiscal year ended December 31, 2023 available at www.apacorp.comor by writing at: 2000 Post Oak Blvd., Suite 100, Houston, Texas 77056 (Attn: Corporate Secretary). You can also obtain this report from the SEC by calling 1-800-SEC-0330 or from the SEC's website at www.sec.gov.

Certain information may be provided in this earnings supplement that includes financial measurements that are not required by, or presented in accordance with, generally accepted accounting principles (GAAP). These non-GAAP measures should not be considered as alternatives to GAAP measures, such as net income, total debt or net cash provided by operating activities, and may be calculated differently from, and therefore may not be comparable to, similarly titled measures used at other companies. For a reconciliation to the most directly comparable GAAP financial measures, please refer to APA's first quarter 2024 earnings release at www.apacorp.comand "Non-GAAP Reconciliations" of this earnings supplement.

None of the information contained in this document has been audited by any independent auditor. This earnings supplement is prepared as a convenience for securities analysts and investors and may be useful as a reference tool. We may elect to modify the format or discontinue publication at any time, without notice to securities analysts or investors.

A P A C O R P O R A T I O N

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1Q 2024 Key Metrics

	1Q 2024
Reported Production	389 Mboe/d
Adjusted Production(1)	320 Mboe/d
Cost Incurred in Oil and Gas Property	$717 Million
Upstream Capital Investment(2)	$568 Million
Net Cash Provided by Operating Activities	$368 Million
Adjusted EBITDAX(2)	$1,235 Million
Free Cash Flow(2)	$99 Million
Diluted Earnings Per Share	$0.44
Adjusted Earnings Per Share(2)	$0.78

1. Excludes production attributable to Egypt tax barrels and noncontrolling interest.
2. For a reconciliation to the most directly comparable GAAP financial measure, please refer to the Non-GAAP Reconciliations. Please refer to the glossary of referenced terms for definitions of Free Cash Flow and Upstream Capital Investment.

A P A C O R P O R A T I O N 3

APA Strategic Framework

Remain	Build and	Maintain	Deliver Top
Committed to	Grow a High-	Financial	Operational
Oil and Gas	Quality Portfolio	Discipline	Performance
Oil and gas production	APA seeks a diverse	APA manages costs,	Across safety,
is APA's core	and balanced portfolio	protects the balance	execution,
competency and will	with scale	sheet and returns	environmental
drive best returns for		cash to shareholders	responsibility and risk
shareholders			management

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Recent Highlights

Continued Permian strength drove	Returned $176 Million to shareholders in
U.S. oil volumes above guidance	1Q24 through dividends and share buybacks

Adjusted production(1)(2) of 320 MBOE/D	Repurchased $100 Million of stock at an
Adjusted oil production(1)(2) of 156 MBO/D	average price of $33.27 per share in 1Q24
Closed acquisition of Callon Petroleum	New development & exploration program
on April 1, 2024	progressing across the portfolio

Transaction enhances Permian oil leverage	Suriname: Targeting FID by YE 2024
Raising cost synergy estimate to $225MM	Alaska: Oil discovered at King Street #1

1. For a reconciliation to the most directly comparable GAAP financial measure, please refer to the Non-GAAP Reconciliations. Please refer to the glossary of referenced terms for definitions of Free Cash Flow and Upstream Capital Investment.
2. Excludes production attributable to tax barrels and noncontrolling interest.

A P A C O R P O R A T I O N

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Callon Integration and Guidance

A P A C O R P O R A T I O N

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Callon Acquisition Enhances Permian Oil Leverage

First APA planned, drilled, and completed wells on Callon legacy acreage expected to be placed on production in 4Q24

	4Q23 APA	4Q24	%
	Standalone	Estimate	Change
U.S. Oil Production (Mbo/d)	84	152	81%
Permian Rig Count	6	~10	67%
Net Permian Unconventional Acres	322,000	467,000	45%

APA Permian % of

Total Upstream Capex

	73%
58%
FY23 Actual	FY24 Estimate

APA Permian % of

Total Adjusted BOE Production

	73%
60%
2Q23 Actual	2Q24 Estimate
	A P A C O R P O R A T I O N 7

Increasing Callon Cost Synergy Estimates by 50%

Estimated Annual Run-Rate Savings

	Initial Estimate		Updated Estimate	Commentary / Timing
	(Jan-2024)		(May-2024)
Overhead	~$55 million		~$70 million	- Additional savings identified post-close
	- Expect to realize ~75% of run-rate savings by the end of 2Q24
Cost of	~$40 million		~$40 million	- Immediately realized 25% on initial debt refinancing
Capital		- Fully realized when the debt is termed out or paid off
Operational				- High-grade service providers; leverage economies of scale
~$55 million		~$115 million	- Eliminate extra casing strings and reduce drilling days
(LOE+DC&F)
			- Surface economies such as gas lift utilization and facility design
Total	~$150 million		~$225 million	- Plan to achieve vast majority of synergy run-rate by year-end 2024
		Capital efficiency uplift to provide significant
			upside beyond cost synergies in 2025+

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Guidance

FY 2024 guidance reflects APA standalone for 1Q24; includes Callon for 2Q24-4Q24

Production (Mboe/d)

United States…………………………………………………………….

Egypt (Reported)(1)…………………………………………………….

North Sea………………………………………………………………..

Total Reported Production(1)…………………………………

Less: Egypt Tax Barrels(1)…………………………...

Less: Egypt Noncontrolling Interest(1)………………

Total Adjusted Production(1)………………………………….

Total Adjusted Oil Production (Mbo/d)(1)…………………….

United States Oil Production (Mbo/d)…………………......

Upstream Capital Investment ($ in millions)(2)…………....................

Upstream Lease Operating Expense ($ in millions)……………………..

General & Administrative Expense ($ in millions)………………….........

Gathering, Processing & Transmission Expense ($ in millions)….........

Net Gain (Loss) on Oil and Gas Purchases and Sales ($ in millions)(1)

North Sea Current Tax Expense ($ in millions)(1)…………....................

2Q 2024		FY 2024
303		293
128		130
34-36		35-37
465-467		458-460
35		34
31		32
399-401		392-394
203		198
137		130
$890		$2,700
$460		$1,675
$125		$435
$120		$450
$100		$230
$85		$365

Commentary

Reflects curtailments of ~50 MMcf/d of gas & ~5 mb/d of NGL in 2Q24

Reduction of full-year guidance due to PSC impact of higher oil strip

Expect 4Q24 total adjusted oil production to average ~222 Mbo/d

Estimated run-rate of $110MM per quarter by year-end 2024

(1)	Guidance based off 4/25/2024 strip pricing assumptions ($80.60 WTI; $2.38 Henry Hub).	A P A C O R P O R A T I O N
(2)	Refer to glossary of referenced terms for definition of Upstream Capital Investment.

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1Q 2024 Asset Update

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