Hess Announces Discovery at Longtail-3, Offshore Guyana
June 09 2021 - 8:34AM
Business Wire
- Adds to previous recoverable resource estimate of
approximately 9 billion barrels of oil equivalent
- Mako-2 appraisal well results, together with the previously
announced Uaru-2 discovery, give line of sight to a potential fifth
FPSO on the Stabroek Block
Hess Corporation (NYSE: HES) today announced a discovery
offshore Guyana at the Longtail-3 well on the Stabroek Block.
Drilling at Longtail-3 encountered 230 feet (70 meters) of net pay,
including newly identified, high quality hydrocarbon bearing
reservoirs below the original Longtail-1 discovery intervals. The
well is located approximately two miles (3.5 kilometers) south of
the Longtail-1 well. It was drilled in more than 6,100 feet (1,860
meters) of water by the Stena DrillMAX. The Longtail-1 discovery on
the Stabroek Block was drilled in 2018, encountering approximately
256 feet (78 meters) of high-quality, oil-bearing sandstone
reservoir.
In other drilling activity, the Mako-2 appraisal well on the
Stabroek Block confirmed the quality, thickness and areal extent of
the reservoir. When integrated with the previously announced
discovery at Uaru-2, the data supports a potential fifth floating
production storage and offloading vessel (FPSO) in the area east of
the Liza complex. The Koebi-1 exploration well on the Stabroek
Block has shown evidence of non-commercial hydrocarbons.
CEO John Hess said: “The Longtail-3 discovery together with the
previously announced discovery at Uaru-2 will add to the gross
discovered recoverable resource estimate of approximately 9 billion
barrels of oil equivalent and underpin future development
opportunities for the Stabroek Block.”
The Stabroek Block is 6.6 million acres. ExxonMobil affiliate
Esso Exploration and Production Guyana Limited is operator and
holds 45 percent interest in the Stabroek Block. Hess Guyana
Exploration Ltd. holds 30 percent interest and CNOOC Petroleum
Guyana Limited, a wholly-owned subsidiary of CNOOC Limited, holds
25 percent interest.
Hess Corporation is a leading global independent energy company
engaged in the exploration and production of crude oil and natural
gas. More information on Hess Corporation is available at
http://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. Our forward-looking statements may
include, without limitation, the expected number, timing and
completion of our development projects and estimates of capital and
operating costs for these projects; estimates of our crude oil and
natural gas resources and levels of production; and our future
financial and operational results. Forward-looking statements are
based on our current understanding, assessments, estimates and
projections of relevant factors and reasonable assumptions about
the future. 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: fluctuations in market prices or
demand for crude oil, NGLs and natural gas, including due to the
global COVID-19 pandemic or the outbreak of any other public health
threat, or due to the impact of competing or alternative energy
products and political conditions and events; potential failures or
delays in increasing oil and gas reserves and in achieving expected
production levels, including as a result of unsuccessful
exploration activity, drilling risks and unforeseen reservoir
conditions; inherent uncertainties in estimating quantities of
proved reserves and resources; changes in laws, regulations and
governmental actions applicable to our business, including
legislative and regulatory initiatives regarding environmental
concerns, such as measures to limit greenhouse gas emissions and
flaring; the ability of our contractual counterparties to satisfy
their obligations to us, including the operation of joint ventures
which we may not control; unexpected changes in technical
requirements for constructing, modifying or operating exploration
and production facilities and/or the inability to timely obtain or
maintain necessary permits; potential disruption or interruption of
our operations due to catastrophic events, including the global
COVID-19 pandemic; and other factors described in Item 1A—Risk
Factors 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.
We use certain terms in this release relating to resources other
than proved reserves, such as unproved reserves or resources.
Investors are urged to consider closely the oil and gas disclosures
in Hess Corporation’s Form 10-K, File No. 1-1204, available from
Hess Corporation, 1185 Avenue of the Americas, New York, New York
10036 c/o Corporate Secretary and on our website at www.hess.com.
You can also obtain this form from the SEC on the EDGAR system.
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version on businesswire.com: https://www.businesswire.com/news/home/20210609005516/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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