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&lt;td valign="top" width="4%" align="left"&gt;&lt;font style="FONT-FAMILY: Times New Roman" size="2"&gt;&lt;b&gt;6.&lt;/b&gt;&lt;/font&gt;&lt;/td&gt;
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&lt;p style="MARGIN-TOP: 6px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px"&gt;
&lt;font style="FONT-FAMILY: Times New Roman" size="2"&gt;On July 18,
2013, Apache, the Partnership&amp;#x2019;s Managing Partner, announced
it had entered into a definitive agreement to sell its Gulf of
Mexico Shelf operations and properties to Fieldwood Energy LLC
(Fieldwood), an affiliate of Riverstone Holdings. The effective
date of the sale is July 1, 2013, and the transaction is expected
to close on September 30, 2013, subject to customary regulatory
approvals and other closing conditions.&lt;/font&gt;&lt;/p&gt;
&lt;p style="MARGIN-TOP: 12px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px"&gt;
&lt;font style="FONT-FAMILY: Times New Roman" size="2"&gt;As Managing
Partner of the Partnership, Apache has an indirect ownership
interest in the Partnership&amp;#x2019;s properties. In its individual
capacity, Apache also owns a direct interest in certain Partnership
properties. In connection with the proposed sale to Fieldwood,
Apache will sell its direct interests in the Partnership&amp;#x2019;s
properties, while retaining its indirect interests in those
properties in its capacity as Managing Partner of the Partnership.
Pending closing of the Fieldwood transaction, Apache will continue
to operate South Timbalier 295, Ship Shoal 258/259 and Matagorda
681/682; however, Fieldwood will operate these properties after
close. The North Padre Island 969/976 field, in which the
Partnership owns an interest, is and will continue to be operated
by a third-party joint interest owner.&lt;/font&gt;&lt;/p&gt;


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