We are investigating Anadarko Petroleum Corporation (APC) (“Anadarko” or the “Company”) for potential violations of the federal securities laws.
In 2009, Anadarko discovered the “Shenandoah” oil field in the Gulf of Mexico and spent the following eight years appraising the field. During that time, Anadarko and its officers made repeated positive representations about the prospects and value of the Shenandoah assets. Then, on May 2, 2017, Anadarko reported quarterly financial results in which the Company recorded a $467 million impairment charge and expensed $435 million in suspended exploratory well costs related to the Shenandoah project. Critically, Anadarko admitted that it was suspending the appraisal process due to poor results. On this news, Anadarko’s stock price fell $4.33 per share, or 7.69%, to close at $51.95 per share on May 3, 2017.