# Apache to spend \>$100 mil on Alpine High in next 24 months
**URL:** https://www.mineralrightsforum.com/t/apache-to-spend-100-mil-on-alpine-high-in-next-24-months/65478
**Category:** Reeves County, TX
**Created:** [March 15, 2022, 3:17pm UTC](https://www.mineralrightsforum.com/t/apache-to-spend-100-mil-on-alpine-high-in-next-24-months/65478 "2022-03-15T15:17:21Z")
**Posts on this page:** 9
**Page:** 1
### Author:  [@tracy\_lenz](https://www.mineralrightsforum.com/u/tracy_lenz)
#### Post date: [March 15, 2022, 3:17pm UTC](https://www.mineralrightsforum.com/t/apache-to-spend-100-mil-on-alpine-high-in-next-24-months/65478/1 "2022-03-15T15:17:21Z")
I know lots of y’all have Alpine High acreage since I’ve seen it lamented a few times here, but thought I’d share what looks to be good news. Natural gas prices seem to have renewed the interest :).
_“Within the next 24 months, Apache will invest a minimum of $100 million for new well drilling and completion activity at the Alpine High play in the Delaware Basin”_
> **[APA Corporation Closes Two Transactions; Receives $1 Billion of Proceeds](https://www.globenewswire.com/news-release/2022/03/14/2402675/0/en/APA-Corporation-Closes-Two-Transactions-Receives-1-Billion-of-Proceeds.html)**
>
> $805 million from previously announced Delaware Basin minerals divestiture$224 million from sale of 4 million shares of Kinetik common stock HOUSTON,...
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### Author:  [@Reeves\_Rancher](https://www.mineralrightsforum.com/u/Reeves_Rancher)
#### Post date: [March 15, 2022, 5:43pm UTC](https://www.mineralrightsforum.com/t/apache-to-spend-100-mil-on-alpine-high-in-next-24-months/65478/2 "2022-03-15T17:43:25Z")
$100 million for Apache? Maybe 10-12 wells.
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### Author:  [@tracy\_lenz](https://www.mineralrightsforum.com/u/tracy_lenz)
#### Post date: [March 15, 2022, 6:41pm UTC](https://www.mineralrightsforum.com/t/apache-to-spend-100-mil-on-alpine-high-in-next-24-months/65478/3 "2022-03-15T18:41:07Z")
Better than zero 🙂 I’m not seeing any permits yet but will be interesting to watch what “a minimum of $100 million” ends up being.
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### Author:  [@NMoilboy](https://www.mineralrightsforum.com/u/NMoilboy)
#### Post date: [March 16, 2022, 3:08am UTC](https://www.mineralrightsforum.com/t/apache-to-spend-100-mil-on-alpine-high-in-next-24-months/65478/4 "2022-03-16T03:08:11Z")
What does it end up being? Probably a loss to Apache of about $40 million. 😉
I mean, who knows, but a bunch of 10k TVD what…4-5 BCF wells?.. with a bunch of water and perhaps a bit of condensate doesn’t seem like much of a way to make money. Especially come 2024-25 when Whistler is full and takeaway is tight, WAHA diff is huge, and your transpo is through the roof. Glass half empty admittedly.
There’s a price where that all works and it’s a ton of acreage (that’s expiring). So never say never. Does also mean the odds of anyone’s specific acreage having any part of this is really low.
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### Author:  [@Tommy\_Joe](https://www.mineralrightsforum.com/u/Tommy_Joe)
#### Post date: [May 23, 2022, 10:38am UTC](https://www.mineralrightsforum.com/t/apache-to-spend-100-mil-on-alpine-high-in-next-24-months/65478/5 "2022-05-23T10:38:40Z")
Reeves\_Rancher, why do you say 10-12 wells? Is this from the same press release Tracy mentioned? By chance, do you know of any other landman or operator showing an interest to lease or buy minerals in south Reeves, beside Apache? Thanks.
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### Author:  [@TODD\_M\_Baker](https://www.mineralrightsforum.com/u/TODD_M_Baker)
#### Post date: [May 23, 2022, 4:06pm UTC](https://www.mineralrightsforum.com/t/apache-to-spend-100-mil-on-alpine-high-in-next-24-months/65478/6 "2022-05-23T16:06:32Z")
It costs $10-12 million per well. That’s 10-12 wells. Not many but good if all on your minerals.
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### Author:  [@NMoilboy](https://www.mineralrightsforum.com/u/NMoilboy)
#### Post date: [May 25, 2022, 8:06pm UTC](https://www.mineralrightsforum.com/t/apache-to-spend-100-mil-on-alpine-high-in-next-24-months/65478/7 "2022-05-25T20:06:57Z")
They did actually get approved permits in the Bonsai State Unit. Approved in early May. Block 71. Seems a good place to start as the existing well made 6.5 bcf in two years and is still rattling along at 6 mmcfd. From the Barnett/Woodford I guess.
A lot of the rest of it looks like poop. Natgas at $8.5 today kinda makes everything gassy start to look better.
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### Author:  [@Reeves\_Rancher](https://www.mineralrightsforum.com/u/Reeves_Rancher)
#### Post date: [May 25, 2022, 8:07pm UTC](https://www.mineralrightsforum.com/t/apache-to-spend-100-mil-on-alpine-high-in-next-24-months/65478/8 "2022-05-25T20:07:29Z")
Tommy,
Just an estimate based on the $100 million figure. Not sure if anyone else is ready to jump into this area, it is structurally complex and I think only Apache has the seismic data, infrastructure is limited and mostly owned by Apache (Altus). I think it is very telling that Chevron hasn’t done anything to develop its checkerboarded acreage in the area. Sorry to be a negative, where is your acreage located? Maybe it has other potential?
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### Author:  [@system](https://www.mineralrightsforum.com/u/system)
#### Post date: [June 13, 2022, 3:17pm UTC](https://www.mineralrightsforum.com/t/apache-to-spend-100-mil-on-alpine-high-in-next-24-months/65478/9 "2022-06-13T15:17:26Z")
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