Freeport-McMoRan Copper & Gold has acquired Apache’s stakes in its deepwater Gulf of Mexico projects for $1.4billion.
The announcement comes a day after Freeport announced the sale of its Texas oil properties. The firm will use the proceeds from its own $3.1bn sale to fund the deepwater acquisition.
The deal includes the Lucius and Heidelberg development projects and 11 exploration blocks.
Apache said it will now shift its focus to ventures in less than 1,000 feet deep.
Thomas E. Voytovich, executive vice president and chief operating officer for offshore and international operations, said: “Discoveries on the shelf have quicker cycle times, require less capital, and provide more options to bring oil and gas to market.”