Apache has historically operated as a mature asset specialist with a moderately risk-averse strategy. It used an "acquire, exploit and explore" model to drive growth, and generally pursued a cyclical approach to deal activity. Exploration and appraisal (E&A) activity has focused on assets acquired in 2010 in the US Gulf of Mexico and Egypt Western Desert. However in 2013, a new exploration leadership team re-focused on near-field exploration and unconventional resource plays. Apache has repositioned its portfolio to concentrate investment in advantaged, high returning, cash generative assets. It has built a sizeable position in the Permian, Mid-Continent and Gulf Coast basins and these provide a large drilling inventory. Overall, Alpine High and Midland Basin will remain top investment priorities.