Gulf Oil and Gas accountACCOUNT

Hess Seeking Partners for Assets in Kurdistan & Ghana

Source: Reuters 7/31/2013, Location: Africa

Hess Corp reported a bigger-than-expected quarterly profit due to higher oil and gas prices and said it was seeking partners to explore two fields in Kurdistan and a block offshore Ghana, sending its shares up 3.5 percent to a two-year high. The company, which is looking to sell its retail and trading businesses to focus on exploration and production, also said it expected higher production from North Dakota's Bakken shale field in the second half of the year.

Hess said in March it would sell its retail gasoline and marketing and trading businesses in response to a campaign by activist investor Elliott Management to break up the company. After months of sparring over governance and long-term strategy, Hess struck a deal with Elliott in May to place three directors backed by the hedge fund on its board. "The board transition has gone very well. I would characterize the first board meeting that we had in June as very constructive, and we are totally focused on executing the strategy we have outlined," Chief Executive John Hess said on a post-earnings conference call.

The company said that British utility Centrica Plc would buy its energy marketing unit for about $1.03 billion. Including the sale of the marketing business, Hess has raised $4.5 billion from asset sales this year. The company also plans to sell producing assets in Indonesia and Thailand.

Hess owns a 90 percent stake in the Deepwater Tano/Cape Three Points block in Ghana, one of the top 10 oil producers in sub-Saharan Africa. Ghana National Petroleum Co owns the remaining stake. Hess has a production-sharing agreement for the Dinarta and Shakrok fields in the Kurdistan region of northern Iraq. Kurdistan began exporting crude oil last July, despite the Iraq government's claim to sole authority over crude exports.

Oil and gas production in the second quarter fell to 341,000 barrels of oil equivalent per day (boe/d) from 429,000 a year earlier. The decrease was mostly due to asset sales in Russia, the UK North Sea and Azerbaijan, offset by a 16 percent rise in Bakken output, Hess said. The company expects Bakken production to go up in the second half of the year due to the transition to pad drilling, a technique where more wells are sunk from a single spot.

The average worldwide crude oil selling price realized by Hess rose 12 percent in the quarter, while natural gas prices rose about 8 percent. Net income nearly tripled to $1.43 billion, or $4.16 per share, from $549 million, or $1.61 per share. Adjusted profit was $1.51 per share. By that measure, analysts on average had expected earnings of $1.41 per share, according to Thomson Reuters I/B/E/S. Hess shares were up about 3 percent at $75.14 on the New York Stock Exchange on 31 July.

For more information about related Opportunities and Key Players visit West Africa Projects

Acquisitions and Divestitures News in Ghana >>

Russia >>  3/8/2021 - PetroNeft (PTR) an oil & gas exploration and production company, operating in the Tomsk Oblast, Russian Federation, is pleased to announce that the ac...
United Kingdom >>  3/5/2021 - The Oil and Gas Authority (‘OGA’) has received an application for a Carbon Dioxide Appraisal and Storage Licence pursuant to Chapter 3 of the Energy ...

Brazil >>  3/4/2021 - Petro Rio S.A., following best corporate governance practices and in addition to the Material Fact of November 19, 2020, informs its shareholders and ...
Spain >>  3/3/2021 - Warrego Energy Limited is pleased to announce the completion of the acquisition of a 50.1% interest in El Romeral, an integrated gas production and po...

United States >>  3/3/2021 - IOG Capital, LP reported today that, on March 2, 2021, IOG Resources LLC, one of its affiliated companies, closed on the acquisition of certain produc...
Netherlands/Holland >>  3/2/2021 - On 3 November 2020, Neste announced that it would acquire Bunge Loders Croklaan's refinery plant in Rotterdam, the Netherlands. The refinery plant is ...

Related Categories: Accounting, Statistics  Acquisitions and Divestitures  Asset Portfolio Management  Economics/Financial Analysis  General  Industrial Development  Insurance  Investment  Mergers and Acquisitions  Risk Management 

Related Articles: Accounting, Statistics  Acquisitions and Divestitures  Asset Portfolio Management  Economics/Financial Analysis  General  Insurance  Investment  Mergers and Acquisitions  Risk Management 

Ghana Oil & Gas 1 >>  2 | 3 | 4 | 5 |

Oil & Gas Projects in Ghana >>

More News

Related Links

Gulf Oil and Gas
Copyright © 2020 Universal Solutions All rights reserved. - Terms of Service - Privacy Policy.