Returns from Anadarko's conventional exploration activity over the last decade slipped below 10% for the first time since our coverage began. Conversely, the sale of non-core and dry gas acreage onshore US boosted returns from unconventional exploration. Anadarko is focused on high-margin domestic oil in the near term, both onshore and in the US Gulf of Mexico. The Wolfcamp and Niobrara plays will drive production growth. Near-field, incremental exploration in deepwater GoM competes well with the short-cycle unconventional portfolio. Internationally, recent results have been mixed and few new test areas have been added. That said, its select frontier opportunities could provide the company with the next long-term production hub.