Fourth Quarter Financial and Operational Highlights:
- Net income was $542 million, or $1.76 per share, compared
with $413 million, or $1.34 per share, in the fourth quarter of
2023; adjusted net income1 in the fourth quarter of 2023 was $501
million, or $1.63 per share
- Oil and gas net production was 495,000 barrels of oil
equivalent per day (boepd), up 18% from 418,000 boepd
in the fourth quarter of 2023
- Bakken net production was 208,000 boepd, up 7% from 194,000
boepd in the fourth quarter of 2023
- Guyana net production was 195,000 barrels of oil per day
(bopd), up 52% from 128,000 bopd in the fourth quarter of
2023
- E&P capital and exploratory expenditures were $1,677
million, including the purchases of the Liza Destiny and Prosperity
floating production, storage and offloading vessels (FPSOs) for
approximately $635 million, compared with $1,480 million in the
prior-year quarter, which included the purchase of the Liza Unity
FPSO for approximately $380 million
- Year-end proved reserves are estimated to be 1.44 billion
barrels of oil equivalent (boe); organic reserve replacement was
138% at a finding and development cost of $19.67 per boe
Hess Corporation (NYSE: HES) today reported net income of $542
million, or $1.76 per share, in the fourth quarter of 2024,
compared with net income of $413 million, or $1.34 per share, in
the fourth quarter of 2023. On an adjusted basis, the Corporation
reported net income of $501 million, or $1.63 per share, in the
fourth quarter of 2023. The increase in adjusted after-tax earnings
compared with the prior-year quarter primarily reflects higher
production volumes, partially offset by lower realized selling
prices and higher exploration expenses in the fourth quarter of
2024.
1.
“Adjusted net income” is a non-GAAP
financial measure. The reconciliation to its nearest GAAP
equivalent measure, and its definition, appear on pages 6 and 7,
respectively. As provided in the reconciliation, there were no
items identified as affecting comparability of earnings between
periods for the three months ended December 31, 2024, so net income
in accordance with GAAP is shown for that period.
After-tax income (loss) by major operating
activity was as follows:
Three Months Ended
December 31,
(unaudited)
Year Ended
December 31,
(unaudited)
2024
2023
2024
2023
(In millions, except per share
amounts)
Net Income
Attributable to Hess Corporation
Exploration and Production
$
529
$
512
$
2,780
$
1,601
Midstream
74
63
276
252
Corporate, Interest and Other
(61
)
(162
)
(287
)
(471
)
Net income attributable to Hess
Corporation
$
542
$
413
$
2,769
$
1,382
Net income per share (diluted)
$
1.76
$
1.34
$
8.98
$
4.49
Adjusted Net Income
Attributable to Hess Corporation
Exploration and Production
$
529
$
531
$
2,994
$
1,702
Midstream
74
63
276
252
Corporate, Interest and Other
(61
)
(93
)
(287
)
(402
)
Adjusted net income attributable to Hess
Corporation
$
542
$
501
$
2,983
$
1,552
Adjusted net income per share
(diluted)
$
1.76
$
1.63
$
9.68
$
5.05
Weighted average number of shares
(diluted)
308.5
307.9
308.3
307.6
Exploration and Production:
E&P net income was $529 million in the
fourth quarter of 2024, compared with $512 million in the fourth
quarter of 2023. On an adjusted basis, E&P net income was $531
million in the fourth quarter of 2023. The Corporation’s average
realized crude oil selling price, including the effect of hedging,
was $72.10 per barrel in the fourth quarter of 2024, compared with
$76.63 per barrel in the prior-year quarter. The average realized
natural gas liquids (NGL) selling price in the fourth quarter of
2024 was $23.05 per barrel, compared with $20.92 per barrel in the
prior-year quarter, while the average realized natural gas selling
price was $4.10 per mcf, compared with $4.51 per mcf in the fourth
quarter of 2023.
Net production was 495,000 boepd in the fourth
quarter of 2024, compared with 418,000 boepd, in the fourth quarter
of 2023, primarily due to higher production in Guyana and the
Bakken. In the first quarter of 2025, E&P net production is
expected to be in the range of 465,000 boepd to 475,000 boepd,
reflecting planned maintenance and lower tax barrels at Guyana and
the impact of winter weather in the Bakken.
Cash operating costs, which include operating
costs and expenses, production and severance taxes, and E&P
general and administrative expenses, were $12.95 per boe in the
fourth quarter of 2024, compared with $13.29 per boe in the
prior-year quarter.
Oil and Gas Reserves Estimates:
Oil and gas proved reserves at December 31,
2024, which are subject to final review, were 1.44 billion boe,
compared with 1.37 billion boe at December 31, 2023. Net proved
reserve additions and revisions in 2024 totaled 247 million boe,
primarily from Guyana and the Bakken. The Corporation replaced 138%
of its 2024 production at a finding and development cost of $19.67
per boe.
Operational Highlights for the Fourth Quarter of
2024:
Bakken (Onshore U.S.): Net production
from the Bakken was 208,000 boepd in the fourth quarter of 2024,
compared with 194,000 boepd in the prior-year quarter, primarily
reflecting increased drilling and completion activity. NGL and
natural gas volumes received under percentage of proceeds contracts
were 20,000 boepd in the fourth quarter of 2024, compared with
19,000 boepd in the prior-year quarter. During the fourth quarter
of 2024, the Corporation operated four rigs and drilled 35 wells,
completed 26 wells, and brought 29 new wells online. The
Corporation plans to continue operating four drilling rigs in 2025.
Bakken net production is forecasted to be in the range of 195,000
boepd to 200,000 boepd in the first quarter of 2025, reflecting the
impact of winter weather.
Gulf of Mexico (Offshore U.S.): Net
production from the Gulf of Mexico was 30,000 boepd in both the
fourth quarter of 2024 and the fourth quarter of 2023. In late
December, drilling was completed at the Vancouver exploration well
(Hess – 40%) located in Green Canyon Block 287, which did not
encounter commercial quantities of hydrocarbons. Fourth quarter
2024 results include $92 million in exploration expense for well
costs incurred through December 31, 2024.
Guyana (Offshore): At the Stabroek
Block (Hess – 30%), net production totaled 195,000 bopd2 in the
fourth quarter of 2024, compared with 128,000 bopd2 in the
prior-year quarter, primarily due to start-up of the third
development on the block, Payara, which commenced production in
November 2023. Guyana net production is forecasted to be in the
range of 180,000 bopd2 to 185,000 bopd2 in the first quarter of
2025, reflecting planned maintenance at the Payara development and
lower tax barrels of approximately 9,000 bopd in the first quarter
of 2025 as compared with the fourth quarter of 2024. In the fourth
quarter of 2024, 16 cargos of crude oil were sold from Guyana,
compared with 10 cargos in the prior-year quarter. In the first
quarter of 2025, 14 cargos of crude oil are expected to be
sold.
The fourth development on the block,
Yellowtail, was sanctioned in April 2022 with a production capacity
of approximately 250,000 gross bopd and first production expected
in the fourth quarter of 2025. The fifth development, Uaru, was
sanctioned in April 2023 with a production capacity of
approximately 250,000 gross bopd and first production expected in
2026. The sixth development, Whiptail, was sanctioned in April 2024
and is expected to add production capacity of approximately 250,000
gross bopd by the end of 2027. The application for the
environmental permit for the seventh development, Hammerhead, has
been filed with Guyana's Environmental Protection Agency. Pending
government and regulatory approval and project sanctioning, the
development is expected to have a production capacity in the range
of 120,000 to 180,000 gross bopd, with first oil anticipated in
2029.
Southeast Asia (Offshore): Net
production at North Malay Basin and JDA was 62,000 boepd in the
fourth quarter of 2024, compared with 66,000 boepd in the
prior-year quarter.
Midstream:
The Midstream segment had net income of $74
million in the fourth quarter of 2024, compared with net income of
$63 million in the prior-year quarter.
Corporate, Interest and Other:
After-tax expense for Corporate, Interest and
Other was $61 million in the fourth quarter of 2024, compared with
$162 million in the fourth quarter of 2023. On an adjusted basis,
after-tax expense for Corporate, Interest and Other was $93 million
in the fourth quarter of 2023. The decrease in after-tax expense on
an adjusted basis compared with the prior-year quarter primarily
reflects higher capitalized interest in the fourth quarter of
2024.
Capital and Exploratory Expenditures:
E&P capital and exploratory expenditures
were $1,677 million in the fourth quarter of 2024, including the
purchases of the Liza Destiny and Prosperity FPSOs for
approximately $635 million, compared with $1,480 million in the
prior-year quarter, which included the purchase of the Liza Unity
FPSO for approximately $380 million. Full year 2025 E&P capital
and exploratory expenditures are expected to be approximately $4.5
billion, which includes capitalized interest of approximately $240
million.
Midstream capital expenditures were $84
million in the fourth quarter of 2024 and $72 million in the
prior-year quarter.
Liquidity:
Excluding the Midstream segment, Hess
Corporation had cash and cash equivalents of $1.2 billion and debt
and finance lease obligations totaling $5.3 billion at December 31,
2024. The Midstream segment had cash and cash equivalents of $5
million and total debt of $3.5 billion at December 31, 2024. The
Corporation’s debt to capitalization ratio as defined in its debt
covenants was 28.3% at December 31, 2024 and 33.6% at December 31,
2023.
Net cash provided by operating activities was
$1,312 million in the fourth quarter of 2024, compared with $1,344
million in the prior-year quarter. Net cash provided by operating
activities before changes in operating assets and liabilities3 was
$1,521 million in the fourth quarter of 2024, compared with $1,239
million in the prior-year quarter, primarily due to higher
production volumes, partially offset by lower realized selling
prices in the fourth quarter of 2024. Changes in operating assets
and liabilities decreased cash flow from operating activities by
$209 million during the fourth quarter of 2024 and increased cash
flow from operating activities by $105 million during the
prior-year quarter.
Items Affecting Comparability of Earnings Between
Periods:
The following table reflects the total
after-tax income (expense) of items affecting comparability of
earnings between periods:
Three Months Ended
December 31,
(unaudited)
Year Ended
December 31,
(unaudited)
2024
2023
2024
2023
(In millions)
Exploration and Production
$
—
$
(19
)
$
(214
)
$
(101
)
Midstream
—
—
—
—
Corporate, Interest and Other
—
(69
)
—
(69
)
Total items affecting comparability of
earnings between periods
$
—
$
(88
)
$
(214
)
$
(170
)
Fourth Quarter 2023: E&P results included
a pre-tax charge of $52 million ($52 million after income taxes) to
write off the Huron exploration well in the Gulf of Mexico, which
was completed in 2022, based on the decision by the Corporation and
its partners in the fourth quarter of 2023 to exit the project.
E&P results also included a noncash income tax benefit of $33
million resulting from the reversal of a valuation allowance
against net deferred tax assets in Malaysia.
Corporate and other results included a pre-tax
charge of $52 million ($52 million after income taxes) for
litigation related costs associated with the Corporation's former
downstream business, HONX, Inc., which are included in General and
administrative expenses in the income statement. Corporate and
other results also included a noncash charge to recognize
unamortized pension actuarial losses of $17 million ($17 million
after income taxes) resulting from the payment of lump sums to
certain participants in the pension plan. The charge is included in
Other, net in the income statement.
2.
Net production from Guyana included 29,000
bopd of tax barrels in the fourth quarter of 2024 and 16,000 bopd
of tax barrels in the fourth quarter of 2023. Net production
guidance for Guyana for the first quarter of 2025 includes tax
barrels of approximately 20,000 bopd.
3.
“Net cash provided by (used in) operating
activities before changes in operating assets and liabilities” is a
non-GAAP financial measure. The reconciliation to its nearest GAAP
equivalent measure, and its definition, appear on pages 6 and 7,
respectively.
Reconciliation of U.S. GAAP to Non-GAAP Measures:
The following table reconciles reported net
income attributable to Hess Corporation and adjusted net
income:
Three Months Ended December 31,
(unaudited)
Year Ended December 31,
(unaudited)
2024
2023
2024
2023
(In millions)
Net income attributable to Hess
Corporation
$
542
$
413
$
2,769
$
1,382
Less: Total items affecting comparability
of earnings between periods
—
(88
)
(214
)
(170
)
Adjusted net income attributable to Hess
Corporation
$
542
$
501
$
2,983
$
1,552
The following table reconciles reported net
cash provided by (used in) operating activities from net cash
provided by (used in) operating activities before changes in
operating assets and liabilities:
Three Months Ended December 31,
(unaudited)
Year Ended December 31,
(unaudited)
2024
2023
2024
2023
(In millions)
Net cash provided by (used in) operating
activities before changes in operating assets and liabilities
$
1,521
$
1,239
$
6,353
$
4,494
Changes in operating assets and
liabilities
(209
)
105
(753
)
(552
)
Net cash provided by (used in) operating
activities
$
1,312
$
1,344
$
5,600
$
3,942
Due to the pending merger with Chevron
Corporation (Chevron), the Corporation will not host a conference
call to review its fourth quarter 2024 results.
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 www.hess.com.
Forward-looking Statements
This 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: our future financial and operational results;
our business strategy; estimates of our crude oil and natural gas
reserves and levels of production; benchmark prices of crude oil,
NGL and natural gas and our associated realized price
differentials; our projected budget and capital and exploratory
expenditures; expected timing and completion of our development
projects; information about sustainability goals and targets and
planned social, safety and environmental policies, programs and
initiatives; future economic and market conditions in the oil and
gas industry; and expected timing and completion of our proposed
merger with Chevron.
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 of
crude oil, NGL and natural gas and competition in the oil and gas
exploration and production industry; reduced demand for our
products, including due to perceptions regarding the oil and gas
industry, competing or alternative energy products and political
conditions and events; potential failures or delays in increasing
oil and gas reserves, including as a result of unsuccessful
exploration activity, drilling risks and unforeseen reservoir
conditions, and in achieving expected production levels; changes in
tax, property, contract and other 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, fracking bans as well as restrictions on oil and gas
leases; operational changes and expenditures due to climate change
and sustainability related initiatives; disruption or interruption
of our operations due to catastrophic and other events, such as
accidents, severe weather, geological events, shortages of skilled
labor, cyber-attacks, public health measures, or climate change;
the ability of our contractual counterparties to satisfy their
obligations to us, including the operation of joint ventures under
which we may not control and exposure to decommissioning
liabilities for divested assets in the event the current or future
owners are unable to perform; 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; availability and costs of employees and
other personnel, drilling rigs, equipment, supplies and other
required services; any limitations on our access to capital or
increase in our cost of capital, including as a result of
limitations on investment in oil and gas activities, rising
interest rates or negative outcomes within commodity and financial
markets; liability resulting from environmental obligations and
litigation, including heightened risks associated with being a
general partner of HESM; risks and uncertainties associated with
our proposed merger with Chevron; 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 (SEC).
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.
Non-GAAP financial measures
The Corporation has used non-GAAP financial measures in this
earnings release. “Adjusted net income” presented in this release
is defined as reported net income attributable to Hess Corporation
excluding items identified as affecting comparability of earnings
between periods. “Net cash provided by (used in) operating
activities before changes in operating assets and liabilities”
presented in this release is defined as Net cash provided by (used
in) operating activities excluding changes in operating assets and
liabilities. Management uses adjusted net income to evaluate the
Corporation’s operating performance and believes that investors’
understanding of our performance is enhanced by disclosing this
measure, which excludes certain items that management believes are
not directly related to ongoing operations and are not indicative
of future business trends and operations. Management believes that
net cash provided by (used in) operating activities before changes
in operating assets and liabilities demonstrates the Corporation’s
ability to internally fund capital expenditures, pay dividends and
service debt. These measures are not, and should not be viewed as,
a substitute for U.S. GAAP net income or net cash provided by (used
in) operating activities. A reconciliation of reported net income
attributable to Hess Corporation (U.S. GAAP) to adjusted net
income, and a reconciliation of net cash provided by (used in)
operating activities (U.S. GAAP) to net cash provided by (used in)
operating activities before changes in operating assets and
liabilities are provided in the release.
Cautionary Note to Investors
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.
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
SUPPLEMENTAL FINANCIAL DATA
(UNAUDITED)
(IN MILLIONS)
Fourth
Quarter
2024
Fourth
Quarter
2023
Third
Quarter
2024
Income
Statement
Revenues and non-operating
income
Sales and other operating revenues
$
3,194
$
3,011
$
3,191
Gains on asset sales, net
—
—
1
Other, net
31
24
5
Total revenues and non-operating
income
3,225
3,035
3,197
Costs and expenses
Marketing, including purchased oil and
gas
653
886
713
Operating costs and expenses
532
473
527
Production and severance taxes
53
61
61
Exploration expenses, including dry holes
and lease impairment
139
87
44
General and administrative expenses
135
168
118
Interest expense
93
116
100
Depreciation, depletion and
amortization
692
559
638
Impairment
—
—
132
Total costs and expenses
2,297
2,350
2,333
Income before income taxes
928
685
864
Provision for income taxes
288
182
270
Net income
640
503
594
Less: Net income attributable to
noncontrolling interests
98
90
96
Net income attributable to Hess
Corporation
$
542
$
413
$
498
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
SUPPLEMENTAL FINANCIAL DATA
(UNAUDITED)
(IN MILLIONS)
Year Ended
December 31,
Income
Statement
2024
2023
Revenues and non-operating
income
Sales and other operating revenues
$
12,896
$
10,511
Gains on asset sales, net
1
2
Other, net
121
132
Total revenues and non-operating
income
13,018
10,645
Costs and expenses
Marketing, including purchased oil and
gas
2,620
2,732
Operating costs and expenses
1,961
1,776
Production and severance taxes
234
216
Exploration expenses, including dry holes
and lease impairment
326
317
General and administrative expenses
492
527
Interest expense
412
478
Depreciation, depletion and
amortization
2,487
2,046
Impairment
132
82
Total costs and expenses
8,664
8,174
Income before income taxes
4,354
2,471
Provision for income taxes
1,202
733
Net income
3,152
1,738
Less: Net income attributable to
noncontrolling interests
383
356
Net income attributable to Hess
Corporation
$
2,769
$
1,382
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
SUPPLEMENTAL FINANCIAL DATA
(UNAUDITED)
(IN MILLIONS)
December 31, 2024
December 31, 2023
Balance Sheet
Information
Assets
Cash and cash equivalents
$
1,171
$
1,688
Other current assets
2,002
1,742
Property, plant and equipment – net
19,921
17,432
Operating lease right-of-use assets –
net
652
720
Finance lease right-of-use assets –
net
90
108
Other long-term assets
2,715
2,317
Total assets
$
26,551
$
24,007
Liabilities and equity
Current portion of long-term debt
$
23
$
311
Current portion of operating and finance
lease obligations
346
370
Other current liabilities
2,457
2,589
Long-term debt
8,555
8,302
Long-term operating lease obligations
404
459
Long-term finance lease obligations
132
156
Other long-term liabilities
2,631
2,218
Total equity excluding other comprehensive
income (loss)
11,424
9,120
Accumulated other comprehensive income
(loss)
(208
)
(134
)
Noncontrolling interests
787
616
Total liabilities and equity
$
26,551
$
24,007
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
SUPPLEMENTAL FINANCIAL DATA
(UNAUDITED)
(IN MILLIONS)
December 31, 2024
December 31, 2023
Total
Debt
Hess Corporation
$
5,106
$
5,402
Midstream (a)
3,472
3,211
Hess Consolidated
$
8,578
$
8,613
(a) Midstream debt is non-recourse to Hess
Corporation.
December 31, 2024
December 31, 2023
Debt to
Capitalization Ratio (a)
Hess Consolidated
42.1%
47.8%
Hess Corporation as defined in debt
covenants
28.3%
33.6%
(a) Includes finance lease
obligations.
Three Months Ended
December 31,
Year Ended
December 31,
2024
2023
2024
2023
Interest
Expense
Gross interest expense – Hess
Corporation
$
83
$
88
$
340
$
347
Less: Capitalized interest – Hess
Corporation
(42
)
(19
)
(132
)
(48
)
Interest expense – Hess Corporation
41
69
208
299
Interest expense – Midstream (a)
52
47
204
179
Interest expense – Hess
Consolidated
$
93
$
116
$
412
$
478
(a) Midstream interest expense is reported
in the Midstream operating segment.
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
SUPPLEMENTAL FINANCIAL DATA
(UNAUDITED)
(IN MILLIONS)
Fourth
Quarter
2024
Fourth
Quarter
2023
Third
Quarter
2024
Cash Flow
Information
Cash Flows from Operating
Activities
Net income
$
640
$
503
$
594
Adjustments to reconcile net income to net
cash provided by (used in) operating activities:
(Gains) losses on asset sales, net
—
—
(1
)
Depreciation, depletion and
amortization
692
559
638
Impairment
—
—
132
Exploratory dry hole costs
92
50
4
Exploration lease impairment
6
3
6
Pension prior service cost
—
—
35
Pension settlement loss
—
17
—
Stock compensation expense
21
18
20
Noncash (gains) losses on commodity
derivatives, net
—
52
—
Provision (benefit) for deferred income
taxes and other tax accruals
70
37
83
Net cash provided by (used in) operating
activities before changes in operating assets and liabilities
1,521
1,239
1,511
Changes in operating assets and
liabilities
(209
)
105
(1
)
Net cash provided by (used in) operating
activities
1,312
1,344
1,510
Cash Flows from Investing
Activities
Additions to property, plant and equipment
- E&P
(1,661
)
(1,380
)
(990
)
Additions to property, plant and equipment
- Midstream
(95
)
(64
)
(92
)
Proceeds from asset sales, net of cash
sold
15
—
1
Other, net
—
(3
)
(5
)
Net cash provided by (used in) investing
activities
(1,741
)
(1,447
)
(1,086
)
Cash Flows from Financing
Activities
Net borrowings (repayments) of debt with
maturities of 90 days or less
(15
)
64
30
Debt with maturities of greater than 90
days:
Borrowings
—
—
—
Repayments
(5
)
(3
)
(303
)
Cash dividends paid
(154
)
(134
)
(154
)
Noncontrolling interests, net
(92
)
(151
)
(154
)
Employee stock options exercised
8
—
—
Payments on finance lease obligations
(3
)
(3
)
(3
)
Other, net
(3
)
—
(1
)
Net cash provided by (used in) financing
activities
(264
)
(227
)
(585
)
Net Increase (Decrease) in Cash and
Cash Equivalents
(693
)
(330
)
(161
)
Cash and Cash Equivalents at Beginning
of Period
1,864
2,018
2,025
Cash and Cash Equivalents at End of
Period
$
1,171
$
1,688
$
1,864
Additions to
Property, Plant and Equipment included within Investing
Activities
Capital expenditures incurred
$
(1,720
)
$
(1,518
)
$
(1,166
)
Increase (decrease) in related
liabilities
(36
)
74
84
Additions to property, plant and
equipment
$
(1,756
)
$
(1,444
)
$
(1,082
)
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
SUPPLEMENTAL FINANCIAL DATA
(UNAUDITED)
(IN MILLIONS)
Year Ended
December 31,
2024
2023
Cash Flow
Information
Cash Flows from Operating
Activities
Net income
$
3,152
$
1,738
Adjustments to reconcile net income to net
cash provided by (used in) operating activities:
(Gains) losses on asset sales, net
(1
)
(2
)
Depreciation, depletion and
amortization
2,487
2,046
Impairment
132
82
Exploratory dry hole costs
159
147
Exploration lease impairment
22
27
Pension prior service cost
35
—
Pension settlement loss
—
17
Stock compensation expense
100
87
Noncash (gains) losses on commodity
derivatives, net
—
156
Provision (benefit) for deferred income
taxes and other tax accruals
267
196
Net cash provided by (used in) operating
activities before changes in operating assets and liabilities
6,353
4,494
Changes in operating assets and
liabilities
(753
)
(552
)
Net cash provided by (used in) operating
activities
5,600
3,942
Cash Flows from Investing
Activities
Additions to property, plant and equipment
- E&P
(4,640
)
(3,884
)
Additions to property, plant and equipment
- Midstream
(306
)
(224
)
Proceeds from asset sales, net of cash
sold
16
3
Other, net
(7
)
(8
)
Net cash provided by (used in) investing
activities
(4,937
)
(4,113
)
Cash Flows from Financing
Activities
Net borrowings (repayments) of debt with
maturities of 90 days or less
(325
)
322
Debt with maturities of greater than 90
days:
Borrowings
600
—
Repayments
(313
)
(3
)
Cash dividends paid
(579
)
(539
)
Common stock acquired and retired
—
(20
)
Proceeds from sale of Class A shares of
Hess Midstream LP
—
167
Noncontrolling interests, net
(551
)
(550
)
Employee stock options exercised
21
10
Payments on finance lease obligations
(11
)
(10
)
Other, net
(22
)
(4
)
Net cash provided by (used in) financing
activities
(1,180
)
(627
)
Net Increase (Decrease) in Cash and
Cash Equivalents
(517
)
(798
)
Cash and Cash Equivalents at Beginning
of Year
1,688
2,486
Cash and Cash Equivalents at End of
Year
$
1,171
$
1,688
Additions to
Property, Plant and Equipment included within Investing
Activities
Capital expenditures incurred
$
(5,002
)
$
(4,279
)
Increase (decrease) in related
liabilities
56
171
Additions to property, plant and
equipment
$
(4,946
)
$
(4,108
)
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
SUPPLEMENTAL FINANCIAL DATA
(UNAUDITED)
(IN MILLIONS)
Fourth
Quarter
2024
Fourth
Quarter
2023
Third
Quarter
2024
Capital and
Exploratory Expenditures
E&P Capital and exploratory
expenditures
United States
North Dakota
$
331
$
313
$
342
Offshore and Other
104
64
77
Total United States
435
377
419
Guyana
1,209
1,047
634
Malaysia and JDA
27
55
49
Other
6
1
2
E&P Capital and exploratory
expenditures
$
1,677
$
1,480
$
1,104
Total exploration expenses charged to
income included above
$
41
$
34
$
34
Midstream Capital expenditures
$
84
$
72
$
96
Year Ended
December 31,
2024
2023
Capital and
Exploratory Expenditures
E&P Capital and exploratory
expenditures
United States
North Dakota
$
1,279
$
1,138
Offshore and Other
478
290
Total United States
1,757
1,428
Guyana
2,932
2,518
Malaysia and JDA
147
189
Other (a)
23
41
E&P Capital and exploratory
expenditures
$
4,859
$
4,176
Total exploration expenses charged to
income included above
$
145
$
143
Midstream Capital expenditures
$
288
$
246
(a) Other in 2023 includes capital and
exploratory expenditures associated with Canada.
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
EXPLORATION AND PRODUCTION
EARNINGS (UNAUDITED)
(IN MILLIONS)
Fourth Quarter 2024
Income
Statement
United States
International
Total
Total revenues and non-operating
income
Sales and other operating revenues
$
1,546
$
1,642
$
3,188
Other, net
12
—
12
Total revenues and non-operating
income
1,558
1,642
3,200
Costs and expenses
Marketing, including purchased oil and gas
(a)
628
46
674
Operating costs and expenses
258
186
444
Production and severance taxes
52
1
53
Midstream tariffs
364
—
364
Exploration expenses, including dry holes
and lease impairment
124
15
139
General and administrative expenses
81
11
92
Depreciation, depletion and
amortization
282
358
640
Total costs and expenses
1,789
617
2,406
Results of operations before income
taxes
(231
)
1,025
794
Provision for income taxes
—
265
265
Net income (loss) attributable to Hess
Corporation
$
(231
)
$
760
$
529
Fourth Quarter 2023
Income
Statement
United States
International
Total
Total revenues and non-operating
income
Sales and other operating revenues
$
1,766
$
1,240
$
3,006
Other, net
11
5
16
Total revenues and non-operating
income
1,777
1,245
3,022
Costs and expenses
Marketing, including purchased oil and gas
(a)
867
40
907
Operating costs and expenses
229
159
388
Production and severance taxes
56
5
61
Midstream tariffs
328
—
328
Exploration expenses, including dry holes
and lease impairment
82
5
87
General and administrative expenses
53
8
61
Depreciation, depletion and
amortization
255
253
508
Total costs and expenses
1,870
470
2,340
Results of operations before income
taxes
(93
)
775
682
Provision for income taxes
—
170
170
Net income (loss) attributable to Hess
Corporation
$
(93
)
(b)
$
605
(c)
$
512
(a) Includes amounts charged from the
Midstream segment.
(b) Includes after-tax losses from
realized crude oil hedging activities of $34 million (noncash
premium amortization: $34 million; cash settlement: $0
million).
(c) Includes after-tax losses from
realized crude oil hedging activities of $18 million (noncash
premium amortization: $18 million; cash settlement: $0
million).
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
EXPLORATION AND PRODUCTION
EARNINGS (UNAUDITED)
(IN MILLIONS)
Third Quarter 2024
Income
Statement
United States
International
Total
Total revenues and non-operating
income
Sales and other operating revenues
$
1,674
$
1,509
$
3,183
Gains on asset sales, net
1
—
1
Other, net
8
(25
)
(17
)
Total revenues and non-operating
income
1,683
1,484
3,167
Costs and expenses
Marketing, including purchased oil and gas
(a)
689
41
730
Operating costs and expenses
263
180
443
Production and severance taxes
55
6
61
Midstream tariffs
349
—
349
Exploration expenses, including dry holes
and lease impairment
36
8
44
General and administrative expenses
76
7
83
Depreciation, depletion and
amortization
323
262
585
Impairment
127
5
132
Total costs and expenses
1,918
509
2,427
Results of operations before income
taxes
(235
)
975
740
Provision for income taxes
—
251
251
Net income (loss) attributable to Hess
Corporation
$
(235
)
$
724
$
489
(a) Includes amounts charged from the
Midstream segment.
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
EXPLORATION AND PRODUCTION
EARNINGS (UNAUDITED)
(IN MILLIONS)
Year Ended December 31, 2024
Income
Statement
United States
International
Total
Total revenues and non-operating
income
Sales and other operating revenues
$
6,283
$
6,586
$
12,869
Gains on asset sales, net
1
—
1
Other, net
42
(5
)
37
Total revenues and non-operating
income
6,326
6,581
12,907
Costs and expenses
Marketing, including purchased oil and gas
(a)
2,523
172
2,695
Operating costs and expenses
955
676
1,631
Production and severance taxes
222
12
234
Midstream tariffs
1,376
—
1,376
Exploration expenses, including dry holes
and lease impairment
219
107
326
General and administrative expenses
286
35
321
Depreciation, depletion and
amortization
1,115
1,167
2,282
Impairment
127
5
132
Total costs and expenses
6,823
2,174
8,997
Results of operations before income
taxes
(497
)
4,407
3,910
Provision for income taxes
—
1,130
1,130
Net income (loss) attributable to Hess
Corporation
$
(497
)
$
3,277
$
2,780
Year Ended December 31, 2023
Income
Statement
United States
International
Total
Total revenues and non-operating
income
Sales and other operating revenues
$
6,081
$
4,419
$
10,500
Other, net
30
20
50
Total revenues and non-operating
income
6,111
4,439
10,550
Costs and expenses
Marketing, including purchased oil and gas
(a)
2,681
128
2,809
Operating costs and expenses
901
578
1,479
Production and severance taxes
206
10
216
Midstream tariffs
1,245
—
1,245
Exploration expenses, including dry holes
and lease impairment
170
147
317
General and administrative expenses
213
41
254
Depreciation, depletion and
amortization
904
948
1,852
Impairment
82
—
82
Total costs and expenses
6,402
1,852
8,254
Results of operations before income
taxes
(291
)
2,587
2,296
Provision for income taxes
—
695
695
Net income (loss) attributable to Hess
Corporation
$
(291
)
(b)
$
1,892
(c)
$
1,601
(a) Includes amounts charged from the
Midstream segment.
(b) Includes after-tax losses from
realized crude oil hedging activities of $128 million (noncash
premium amortization: $128 million; cash settlement: $0
million).
(c) Includes after-tax losses from
realized crude oil hedging activities of $62 million (noncash
premium amortization: $62 million; cash settlement: $0
million).
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
EXPLORATION AND PRODUCTION
OPERATING DATA
Fourth Quarter 2024
Fourth Quarter 2023
Third Quarter 2024
Net Production
Per Day (in thousands)
Crude oil - barrels
United States
North Dakota
93
89
91
Offshore
22
21
28
Total United States
115
110
119
Guyana (a)
195
128
170
Malaysia and JDA
5
6
4
Total
315
244
293
Natural gas liquids - barrels
United States
North Dakota
76
71
75
Offshore
3
2
3
Total United States
79
73
78
Natural gas - mcf
United States
North Dakota
232
204
238
Offshore
30
42
42
Total United States
262
246
280
Malaysia and JDA
345
362
258
Total
607
608
538
Barrels of oil equivalent
495
418
461
(a) Production from Guyana includes 29,000
bopd of tax barrels in the fourth quarter of 2024, 16,000 bopd of
tax barrels in the fourth quarter of 2023 and 25,000 bopd of tax
barrels in the third quarter of 2024.
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
EXPLORATION AND PRODUCTION
OPERATING DATA
Year Ended December 31,
2024
2023
Net Production
Per Day (in thousands)
Crude oil - barrels
United States
North Dakota
91
83
Offshore
23
22
Total United States
114
105
Guyana (a)
186
115
Malaysia and JDA
5
5
Total
305
225
Natural gas liquids - barrels
United States
North Dakota
74
67
Offshore
2
2
Total United States
76
69
Natural gas - mcf
United States
North Dakota
232
191
Offshore
35
43
Total United States
267
234
Malaysia and JDA
332
368
Total
599
602
Barrels of oil equivalent
481
394
(a) Production from Guyana includes 29,000
bopd of tax barrels in 2024 and 14,000 bopd in 2023.
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
EXPLORATION AND PRODUCTION
OPERATING DATA
Fourth Quarter 2024
Fourth Quarter 2023
Third Quarter 2024
Sales Volumes Per
Day (in thousands) (a)
Crude oil – barrels
319
245
295
Natural gas liquids – barrels
80
74
77
Natural gas – mcf
607
608
538
Barrels of oil equivalent
500
420
462
Sales Volumes (in
thousands) (a)
Crude oil – barrels
29,369
22,521
27,185
Natural gas liquids – barrels
7,363
6,839
7,113
Natural gas – mcf
55,880
55,957
49,492
Barrels of oil equivalent
46,045
38,686
42,547
Year Ended December 31,
2024
2023
Sales Volumes Per
Day (in thousands) (a)
Crude oil – barrels
304
225
Natural gas liquids – barrels
77
69
Natural gas – mcf
599
602
Barrels of oil equivalent
481
394
Sales Volumes (in
thousands) (a)
Crude oil – barrels
111,284
81,941
Natural gas liquids – barrels
28,051
25,184
Natural gas – mcf
219,269
219,750
Barrels of oil equivalent
175,880
143,750
(a) Sales volumes from purchased crude
oil, natural gas liquids, and natural gas are not included in the
sales volumes reported.
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
EXPLORATION AND PRODUCTION
OPERATING DATA
Fourth Quarter 2024
Fourth Quarter 2023
Third Quarter 2024
Average Selling
Prices
Crude oil - per barrel (including
hedging)
United States
North Dakota
$
68.10
$
70.69
$
72.74
Offshore
69.94
73.68
75.32
Total United States
68.47
71.28
73.35
Guyana
74.19
81.50
79.51
Malaysia and JDA
72.07
73.44
80.24
Worldwide
72.10
76.63
77.06
Crude oil - per barrel (excluding
hedging)
United States
North Dakota
$
68.10
$
74.03
$
72.74
Offshore
69.94
76.98
75.32
Total United States
68.47
74.62
73.35
Guyana
74.19
83.09
79.51
Malaysia and JDA
72.07
73.44
80.24
Worldwide
72.10
78.95
77.06
Natural gas liquids - per
barrel
United States
North Dakota
$
23.03
$
20.95
$
20.87
Offshore
23.74
19.26
21.67
Worldwide
23.05
20.92
20.91
Natural gas - per mcf
United States
North Dakota
$
1.22
$
1.52
$
0.97
Offshore
1.91
2.26
1.65
Total United States
1.30
1.65
1.07
Malaysia and JDA
6.24
6.45
6.78
Worldwide
4.10
4.51
3.81
HESS CORPORATION AND
CONSOLIDATED SUBSIDIARIES
EXPLORATION AND PRODUCTION
OPERATING DATA
Year Ended December 31,
2024
2023
Average Selling
Prices
Crude oil - per barrel (including
hedging)
United States
North Dakota
$
72.11
$
70.44
Offshore
75.07
72.06
Total United States
72.70
70.80
Guyana
80.04
80.72
Malaysia and JDA
77.76
75.51
Worldwide
77.28
75.97
Crude oil - per barrel (excluding
hedging)
United States
North Dakota
$
72.11
$
73.80
Offshore
75.07
75.39
Total United States
72.70
74.15
Guyana
80.04
82.20
Malaysia and JDA
77.76
75.51
Worldwide
77.28
78.29
Natural gas liquids - per
barrel
United States
North Dakota
$
21.75
$
20.77
Offshore
21.73
20.87
Worldwide
21.75
20.77
Natural gas - per mcf
United States
North Dakota
$
1.17
$
1.68
Offshore
1.78
2.16
Total United States
1.25
1.76
Malaysia and JDA
6.57
5.95
Worldwide
4.20
4.32
View source
version on businesswire.com: https://www.businesswire.com/news/home/20250129499682/en/
For Hess Corporation
Investor Contact: Jay Wilson (212) 536-8940
Media Contacts: Lorrie Hecker (212) 536-8250
Nick Rust FGS Global (917) 439-0307
Grafico Azioni Hess (NYSE:HES)
Storico
Da Gen 2025 a Feb 2025
Grafico Azioni Hess (NYSE:HES)
Storico
Da Feb 2024 a Feb 2025
