• 4 minutes Energy Armageddon
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 10 minutes Russia Says Europe Will Struggle To Replace Its Oil Products
  • 7 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 5 hours Reality catching up with EV forecasts
  • 13 hours Famous author Michael Crichton talks about the "Climate Change Religion" aka Feudalism 2.0
  • 6 days 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 11 days A Somewhat Realistic View of the Near Future for Electric Vehicles Worldwide
  • 12 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas

Hess Earnings Outshine With New Guyana Discovery

Fourth-quarter earnings on Wednesday saw Hess Corporation (NYSE:HES) soundly beat Wall Street estimates, with another discovery offshore Guyana playing a significant role in the company’s newly revealed $3.7-billion spending plan for 2023. 

In its Q4 2022 financial and operational highlights, Hess reported net income of $624 million ($2.03 per common share), up from $265 million net income for the same period in 2021. On an adjusted basis, Q4 earnings came in at $1.78 per share. 

Hess also returned $405 million in cash to shareholders for the quarter, through a combination of dividends and $310 million in buybacks. 

ADVERTISEMENT

Guidance for the year has a net production forecast between 355,000 boepd and 365,000 boepd–up around 10% from 2022. 

The results have prompted Hess to unveil an exploration budget of $3.7 billion, the bulk (80%) of which will be spent on the Bakken and offshore Guyana.

Guyana is the star of the show, with discoveries with partner Exxon lining up one after another.

In its Q4 earnings call, Hess announced another discovery on the Stabroek Block at the Fangtooth SE-1 well, which is just southeast of the Fangtooth-1 discovery. Drilling encountered some 200 feet of oil-bearing sandstone reservoirs. The Stabroek Block has a gross discovered recoverable resource estimate of more than 11 billion barrels of oil without the latest Fangtooth discovery.  

ADVERTISEMENT

The Fangtooth SE-1 discovery would likely justify the addition of a seventh platform in Guyana, and the combined discoveries at Stabroek represent the world’s biggest offshore discoveries in more than 10 years. 

With regard to American shale, where Hess is focused on the Bakken, the company said that the United States could increase total oil production to up to 13.5 million bpd, at which point output would plateau somewhere around 2025 or 2026. 

By Charles Kennedy for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

ADVERTISEMENT


ADVERTISEMENT


Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News