APA Corp, formerly Apache Corporation (APA), will boost its dividend by 150 percent to 6.25 cents quarterly per share. This however comes after a 90 percent cut in the company's quarterly dividend to $0.025 per share in 2020. The previous dividend hike by the oil company was announced in 2014.

The next dividend on APA common shares is payable November 22, 2021, to stockholders of record on Oct. 22, 2021. On an annualized basis, the dividend increases to 25 cents per share and yields 1.3% at a stock price of $18.90.

“APA’s dividend increase represents a prudent first step on our path to returning a higher percentage of cash flow to our shareholders. This follows the considerable progress we are making this year on debt reduction. The new dividend returns an additional $57 million to our shareholders annually, an amount that is more than funded by the interest expense savings associated with our recent $1.7 billion debt tender,” said John J. Christmann IV, APA’s CEO and president. “We have confidence in the quality of our underlying core assets and the long-term sustainability of their free cash flow generating capacity. We look forward to demonstrating that to the market and to further increasing the dividend as we continue to make progress on debt reduction.”

Apa Corp is an energy holding company. The company operates through its subsidiaries: Apache Corporation and APA Corporation Suriname. The former Apache Corporation is an oil and gas exploration and production company with operations in the United States, Egypt and the United Kingdom and exploration activities offshore Suriname. Apache Oil Corporation was founded in 1954 in Minneapolis, Minnesota, by Truman Anderson, Raymond Plank and Charles Arnao working alongside six employees and backed by 41 shareholders who invested $250,000 in initial capital. The company’s name was changed to Apache Corporation in 1960. The former Apache has paid a dividend every year since 1965.