The following discussions contain certain “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995 including, without limitation, estimates, expectations, plans and goals regarding Apache’s production, reserves, financings, acquisitions, exploration and exploitation prospects, energy prices, operating costs, and results of operations. Such forward-looking statements involve estimates, assumptions and uncertainties. No assurance can be given that Apache’s expectations or goals will be realized, and actual results may differ materially from those expressed in the forward-looking statements.

5/7/2002


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Table of Contents

The following discussions contain certain “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995 including, without limitation, estimates, expectations, plans and goals regarding Apache’s production, reserves, financings, acquisitions, exploration and exploitation prospects, energy prices, operating costs, and results of operations. Such forward-looking statements involve estimates, assumptions and uncertainties. No assurance can be given that Apache’s expectations or goals will be realized, and actual results may differ materially from those expressed in the forward-looking statements.

Apache Profile

Building To Last

Impending U.S. Natural Gas Train Wreck

U.S. Natural Gas Production and Consumption

Increased Activity Delivered Limited Supply

U.S. Production Below Expectation

Price Volatility Whipsaws Markets & Services

Natural Gas: The Mother Of All Volatility

Volatility Comparisons

Relative Natural Gas Volatility

Volatility

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“Paper” Market – Weapon of Mass Destruction

Intercontinental Exchange – The New EOL

Gas Daily Single Point Index Pricing

Financial Impact of Market Power

Who is the Real Market?

Reporting Natural Gas Storage

NYMEX Price Response To AGA Storage Report

AGA Reporting Error

Reporting Natural Gas Storage

California Interstate Pipeline Ownership

California Gas Fired Generation Ownership

California Market in 2000/2001

PPT Slide

Would You Buy A Used Car From This Man?

Natural Gas Train Wreck

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Author: Jeff Massara