In January, APA said it reduced production by about 23,500 barrels of oil equivalent per day (boepd) in the fourth quarter. This reduction followed similar cutbacks in the previous three quarters, implemented due to ongoing low natural gas prices in the Permian Basin.
In February, the oil and gas firm, in its first quarter forecast, had not signaled any production cut.
Natural gas prices have been climbing from the past few quarters but remain below record highs of 2022 following U.S. sanctions against Russia after its invasion of Ukraine, prompting producers to curtail production.
Prices have shown mixed trends in the first quarter of the year due to higher output and pipeline constraints.
The company said it expects the first-quarter average realized natural gas prices in the U.S. to be $2 per thousand cubic feet (Mcf) and $4.15 per Mcf worldwide.
(Reporting by Tanay Dhumal in Bengaluru; Editing by Vijay Kishore)
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