WRAPUP 1-Lower prices hit profits at Apache, XTO, Williams
* Apache suffers net loss on write-downs
* Williams puts off split, cuts spending
* Shares of XTO down 7 pct, Williams down 9 pct
* Technip profits surge, but sees delays in big projects
SAN FRANCISCO, Feb 19 (Reuters) - Apache Corp (APA.N), Williams Companies Inc (WMB.N) and XTO Energy Inc (XTO.N) saw quarterly profits hit by lower oil and gas prices, which are forcing them to take a cautious approach to 2009 spending.
The companies' shares fell on Thursday in spite of a bounce in crude oil prices CLc1, while Apache and XTO still expect to grow 2009 production volumes from 2008 -- a year marked by natural disasters as well as man-made setbacks.
Williams, a pipeline operator and natural gas producer, put off its plan to sell a division, citing deterioration in the economy and energy prices.
The comparatively strong performance and outlook of a few oilfield services companies on Thursday highlighted growing tension between them and the energy producers, who would like to see their prices drop to reflect the tougher market.
Apache, the top U.S. independent exploration and production company by market value, reported adjusted earnings of $276 million, or 82 cents per share, down from $982 million, or $2.92 per share, leaving out a $3.6 billion asset write-down .
After a tough 2008, when Gulf of Mexico hurricanes and a pipeline explosion in Australia helped push production down by 5 percent, Apache said it is targeting production growth of 6 percent to 14 percent this year.
The company has set an exploration and development budget of $3.5 billion to $4 billion for 2009.
"If the current downward trend in commodity prices continues, we may scale back spending even more, and our production growth likely will land in the bottom half of our projected range," Apache Chief Executive Steven Farris said.
Rival XTO Energy Inc (XTO.N), ranked third by value among U.S. independent producers, reported a 24 percent drop in fourth-quarter profit to $351 million but said it was still targeting 2009 production growth of 14 percent.
Noble Energy Inc (NBL.N), ranked eighth, reported net income of $305 million, up just $5 million from a year before, and expects 2009 production to decline by 5 percent.
Results from Smaller players Swift Energy Co (SFY.N) and PetroQuest Energy Inc (PQ.N) told similar tales. [ID:nBNG109481] Continued...
