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DENVER - Denver based Cordillera Energy Partners III, LLC announced the closing of its merger into Apache Corporation of Houston, Texas. Incorporating additional acreage and drilling since the merger was announced, Apache paid Cordillera $3.1 Billion comprised of $600 Million in common shares and $2.5 Billion in cash. With this closing, the shareholders of Cordillera will hold approximately 1.6% of Apache's outstanding common shares.

Cordillera III was the third enterprise formed by George H. Solich, President and CEO, and his senior management team. Cordillera held a leading position in the Western Anadarko Basin with 312,000 net acres in some of the most economic, liquids-rich gas targets in the onshore U.S. At the end of April, net production from the Cordillera assets was 24,000 BOEPD. The combination of this acreage with Apache's legacy Western Anadarko position creates a platform for a multi-decade development program in a variety of horizontal targets. The Cordillera team will be assisting Apache in transitioning the operations and asset base over the ensuing six months. Upon completion of the transition, the principals of Cordillera plan to launch a new venture in the upstream E&P sector called Energy IV, LLC.

Solich remarked, "We could not think of any better way to end the era of Cordillera companies than through the merger of Cordillera III into Apache Corporation. The breadth and depth of Apache's Mid-Continent team will unlock significant additional value on the Cordillera assets".

Cordillera III was formed in May 2007 with equity capitalization from EnCap Investments LP together with 20 institutional and individual shareholders. "The merger with Apache marks the third time in 12 years that the Cordillera management team has sold its company, delivering excellent results for its shareholders", said Tad R. Herz, Executive Vice President and CFO. "We are committed to Apache over the next six months and then we will shift our focus to build value in our new venture, Energy IV, LLC".

Jefferies & Company, Inc. and J.P. Morgan Securities LLC acted as financial advisors, and Andrews Kurth LLP and Thompson & Knight, LLP acted as legal advisors, to Cordillera in connection with this transaction.