Clarkston Capital said Apache Corp. (NYSE: APA) is its Top Pick for 2014.
In November, Apache completed the sale of a 33 percent interest in Apache Egypt to China’s Sinopec for $3.1 billion.
The two parties launched a global strategic partnership to pursue joint upstream oil and gas projects, with the Egypt deal as their first joint move.
Apache also has a partnership with Chevron for liquefied natural gas.
Apache’s asset portfolio in the United States is focused on the Gulf Coast and the Gulf of Mexico, the Anadarko Basin and the Permian Basin. It also has operations in Canada, Egypt’s Western desert, the North Sea, Australia and Argentina. It’s exploration program also covers offshore Suriname.
It has proven reserves of about 3 billion barrels, with daily production of about 800,000 bpd.
Annual revenue is $16 billion.
Clarkston Capital has Apache shares at Outperform with a price target of $110.
It currently trades around $86.