Newfield Exploration is well positioned to benefit from its holding in the Anadarko Basin. The company increased its full-year capital spending projection based on its plan to add drilling rigs in Anadarko Basin by late 2016. We appreciate the company’s move of divesting non-strategic properties as well as increasing acreage in STACK. We believe that Newfield Exploration’s exposure to emerging resource plays, along with its shift from natural gas to liquids, will help it to grow in the exploration and production (E&P) space. Moreover, the company’s ability to maintain a strong track record of above average production growth even amid the price volatility is a positive. In 2016, volumes are expected to be augment further buoyed by a recent acquisition. In view of these positives, we consider the stock to have considerable upside potential.