HOUSTON, Jan. 28 /PRNewswire/ -- Anadarko Petroleum Corporation (NYSE: APC) today announced financial and operating results for the fourth quarter and annual 1998.

Fourth Quarter Results:

For 1998's fourth quarter, Anadarko reported a net loss available to common stockholders of $56.7 million, or 47 cents per share (diluted), on $135.5 million of revenues. During the same period in 1997, Anadarko had net income of $42.0 million, or 35 cents per share (diluted), on $206.1 million of revenues. The fourth quarter decrease in revenues and earnings was due to significantly lower commodity prices, higher costs and expenses, and preferred stock dividends. During 1998's fourth quarter, the company also recorded a noncash charge of $70 million before taxes ($45 million after taxes) to impair certain foreign exploration activity; the impairment relates to all exploratory activity in Peru and Jordan, as well as two dry holes drilled on the Zula Block in Eritrea. Excluding the foreign impairment, Anadarko's net loss for the fourth quarter was $12.1 million, or 10 cents per share (diluted).

Eritrea Exploration Update:

Anadarko also reported today that its second exploration well offshore Eritrea was unsuccessful. The Du Rig-Rig No. 1 well was drilled to a total depth of 2,200 meters on the Zula Block in the Red Sea. Anadarko recorded a noncash charge in the fourth quarter of 1998 related to the two dry holes drilled on the Zula Block. The venture's third exploration well, the Edd No. 1 well located on the Edd Block, began drilling on January 16, 1999. Anadarko serves as operator and holds a 50% interest in both the Zula and Edd concessions. The remaining interests are held by Agip Eritrea B.V. with 30% and Burlington Resources with 20%.