Anadarko Announces Sale of Production Assets in Qatar.

HOUSTON -- Anadarko Petroleum Corporation (NYSE:APC) today announced it has agreed to divest 100 percent of its interest in Anadarko Qatar Energy Company LLC and Anadarko Resources Company (collectively "Anadarko Qatar"), which together holds a 92.5 percent interest in Blocks 12 and 13 in Qatar, to a subsidiary of Occidental Petroleum Corporation for $350 million. Block 12 includes the Al Rayyan Field, representing all of Anadarko's production operations in Qatar and is operated by Anadarko Qatar.

Current net production from Qatar is approximately 6,000 barrels of oil per day from the Al Rayyan Field. Anadarko will retain its exploration interests in Qatar in Blocks 4 and 11.

The transaction is subject to customary closing conditions and adjustments and the approval of Qatar Petroleum. Anadarko's transaction advisor for this sale is Tristone Capital Inc.

Anadarko Petroleum Corporation's mission is to deliver a competitive and sustainable rate of return to shareholders by exploring for, acquiring and developing oil and natural gas resources vital to the world's health and welfare. As of year-end 2006, the company had 3.0 billion barrels-equivalent of proved reserves, making it one of the world's largest independent exploration and production companies. In August 2006, Anadarko acquired Kerr-McGee Corporation and Western Gas Resources, Inc. in separate transactions. For more information about Anadarko, please visit www.anadarko.com.

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Anadarko believes that its expectations are based on reasonable assumptions. No assurance, however, can be given that such expectations will prove to have been correct. A number of factors could cause actual results to differ materially from the projections, anticipated results or other expectations expressed in this news release. See "Risk Factors" in the company's 2006 Annual Report on Form 10-K and other public filings and press releases. Anadarko undertakes no obligation to publicly update or revise any forward-looking statements.