Hess Tags Most of $3.9B Budget for E&P Activities in 2010

Equatorial Guinea
(Click to Enlarge)

Hess has announced today a $3.9 billion capital and exploratory budget for 2010, nearly all of which is targeted for Exploration and Production: $2.4 billion for production, $600 million for developments and $850 million for exploration.

John B. Hess, Chairman and CEO, stated, "We are fortunate to have a strong portfolio of attractive investment opportunities. We will invest in a disciplined manner to sustain long-term profitable growth for shareholders and expect to fund our 2010 program from internally generated cash flow."

Greg Hill, President of Worldwide Exploration and Production, said, "We have a balanced Exploration and Production plan that is consistent with our long-term target of growing both reserves and production 3 percent per year."

Production expenditures of approximately $2.4 billion include:

  • Bakken Shale development in North Dakota, where Hess plans to increase rig count to eight by year-end 2010 from three currently and expand production facilities, including the Tioga gas plant
  • Drilling production wells at Okume Complex (Hess 85% working interest - operator) in the Rio Mumi Basin of Equatorial Guinea
  • Drilling production wells at Shenzi (Hess 28%) in the deepwater Gulf of Mexico, Beryl (Hess 22%) in the United Kingdom and Valhall (Hess 28%) in Norway

Field development expenditures of $600 million include:

  • Valhall, where field redevelopment is underway
  • Ujung Pangkah (Hess 75% - operator) in Indonesia, where development of the oil rim is ongoing
  • Pony (Hess 100% - operator) in the deepwater Gulf of Mexico, where engineering and design work for field development is progressing

Exploration expenditures are budgeted at $850 million, including:

  • Five exploration wells on Permit WA-390-P (Hess 100% - operator) and eight wells on Permit WA-404-P (Hess 50%) in the Northwest Shelf of Australia
  • One exploration well on BM-S-22 (Hess 40%) in the Santos Basin of Brazil
  • Exploration activities in the deepwater Gulf of Mexico, Ghana and Indonesia

Our Privacy Pledge

Most Popular Articles

From the Career Center
Jobs that may interest you
Manager Strategic Supply Chain Sourcing Job
Expertise: Project Controls|Purchasing|Supply Chain Management
Location: Denver, CO
Strategy & Performance Director Job
Expertise: Budget / Cost Control|Business Analyst|Business Development
Location: Denver, CO
Associate Sourcing Specialist or Sourcing Project Specialist Job
Expertise: Project Controls|Project Management|Supply Chain Management
Location: Denver, CO
search for more jobs

Brent Crude Oil : $50.79/BBL 1.30%
Light Crude Oil : $49.96/BBL 1.10%
Natural Gas : $2.77/MMBtu 2.12%
Updated in last 24 hours