Hess Announces Sale of Non Strategic Interests in Bakken Acreage
April 08 2021 - 8:00AM
Business Wire
Hess Corporation (NYSE: HES) announced today that it has entered
into an agreement to sell its Little Knife and Murphy Creek acreage
interests in the Bakken in North Dakota to Enerplus Corporation for
a total consideration of $312 million, effective March 1, 2021.
The sale consists of approximately 78,700 net acres, which are
located in the southernmost portion of Hess’ Bakken position and
not connected to Hess Midstream infrastructure. Net production from
this acreage averaged 4,500 barrels of oil equivalent per day net
to Hess in the first quarter of 2021.
“The Bakken is a core asset in our company’s portfolio,” CEO
John Hess said. “Sale of the Little Knife and Murphy Creek acreage
– the majority of which we were not planning to drill before 2026 –
brings material value forward and further strengthens our cash and
liquidity position.”
The sale is expected to close in May 2021, subject to customary
closing conditions.
Hess Corporation is a leading global independent energy company
engaged in the exploration and production of crude oil and natural
gas. More information is available at www.hess.com.
Cautionary Statements
This news release contains “forward-looking statements” within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. Words such as “anticipate,” “estimate,” “expect,”
“forecast,” “guidance,” “could,” “may,” “should,” “would,”
“believe,” “intend,” “project,” “plan,” “predict,” “will,” “target”
and similar expressions identify forward-looking statements, which
are not historical in nature. These forward-looking statements may
include, without limitation, the expected timing and completion of
the proposed sale and use of proceeds. Forward-looking statements
are subject to certain known and unknown risks and uncertainties
that could cause actual results to differ materially from our
historical experience and our current projections or expectations
of future results expressed or implied by these forward-looking
statements. The following important factors could cause actual
results to differ materially from those in our forward-looking
statements: the ability of our contractual counterparties to
satisfy their obligations to us, the ability to satisfy the
conditions to the proposed sale; contract and other laws,
regulations and governmental actions applicable to our business;
and other factors described in the Risk Factor section in our
Annual Report on Form 10-K and any additional risks described in
our other filings with the Securities and Exchange Commission. As
and when made, we believe that our forward-looking statements are
reasonable. However, given these risks and uncertainties, caution
should be taken not to place undue reliance on any such
forward-looking statements since such statements speak only as of
the date when made and there can be no assurance that such
forward-looking statements will occur and actual results may differ
materially from those contained in any forward-looking statement we
make. Except as required by law, we undertake no obligation to
publicly update or revise any forward-looking statements, whether
because of new information, future events or otherwise.
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version on businesswire.com: https://www.businesswire.com/news/home/20210408005483/en/
Investor Contact: Jay Wilson (212) 536-8940
jrwilson@hess.com
Media Contact: Lorrie Hecker (212) 536-8250
lhecker@hess.com
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