Houston-based Apache Corp. said April 23 it initiated natural gas production volume deferrals from its Alpine High play in late March “in response to extremely low prices at Waha hub.” Current deferrals represent about 250 MMcfd of gross gas production. John J. Christmann IV, CEO and president, said, “As far back as two years ago Apache foresaw the potential for gas takeaway constraints in the Permian Basin.” Apache contracted for more than 1 Bcfd of long-term takeaway capacity from the Permian Basin on Kinder Morgan’s Gulf Coast Express (in service later this year) and Permian Highway (2020) pipelines. Christmann added, “We anticipate relatively wide and volatile natural gas price differentials in the Permian Basin until the Gulf Coast Express pipeline enters service… This is the proper approach from both an environmental and economic perspective relative to other industry practices such as flaring or selling associated gas at a negative or unprofitable price.” Apache said planned rig count and well completions are unchanged.