Hess Corporation at a Glance


  • Employees praise the good people and good pay.
  • Excellent 401(k) plan.
  • Lots of development opportunities.


  • Long hours without overtime pay for some employees.

The Bottom Line

  • Many employees like working for a well-known company where opportunities are there for the taking, especially for those who learn to play the game.

About Hess Corporation

Oil and gas company Hess has exploration and production operations worldwide. In 2015 Hess reported proved reserves totaling more than 1.4 billion barrels of oil equivalent. That year, 51% of the company's total proved reserves were located in the US; 61% of its crude oil and natural gas liquids (NGLs) production, and some 32% of its natural gas production came from its US operations. In a major shift in strategy, Hess has sold all of its downstream businesses (refining and petroleum product and energy marketing) in order to focus on its exploration and production activities.


Hess has two operating segments: Exploration and Production and Bakken Midstream. Exploration and Production (92% of Hess' revenues in 2015) explores for, develops, produces, purchases and sells crude oil, NGLs, and natural gas. It has production operations primarily in the US Denmark, Equatorial Guinea, Malaysia, Norway, and Thailand.

Bakken Midstream (8%) provides fee-based services including crude oil and natural gas gathering, processing of natural gas and the fractionation of natural gas liquids, terminaling and loading crude oil and NGLs, transportation of crude oil by rail car and the storage and terminaling of propane, primarily in the Bakken shale play of North Dakota.

In 2015 Hess operated 8.5 rigs, drilled 182 wells, and completed 212 wells, and began production at 219 wells, bringing the total number of operated production wells to 1,201. Constricted by low oil prices, in 2016 it planned to drill 50 wells in the Bakken shale in the US. Its offshore production on the Gulf of Mexico principally comes from a handful of fields in which it which holds stakes -- Tubular Bells (Hess 57%), Shenzi (Hess 28%), Llano (50%), Conger (38%), Baldpate (50%), Hack Wilson (25%), Penn State (50%), and Stampede (25%).

Geographic Reach

Hess has operations in Australia, Canada, Denmark, Equatorial Guinea, France, Gabon, Guyana, Ghana, Indonesia, Kurdistan (Iraq), Libya, Malaysia, Norway, Thailand, and the US.

In 2015 revenues from US accounted for 63% of Hess' total revenues; Europe, 13%; Africa, 14%; Asia, and other continents, 10%.

Financial Performance

Hess' revenues have declined over the last five years.

In 2015 net revenues decreased by 43% to $6.6 billion due to significant decline in crude oil prices. In addition, realized selling prices for NGLs and natural gas declined by 66% and 31%, respectively.

Net loss was $3.05 billion, a decrease of 232% compared to 2014 due to a significant drop in net revenues and impairment charges.

In 2015 cash from operating activities was $1.98 billion, a decrease of 56%.


The company has exited its retail, energy marketing, and energy trading businesses in order to focus on a higher growth, lower-risk portfolio of exploration and production assets, primarily in the US. It plans to be a more focused pure-play exploration and production company with an average annual production growth of 5% to 8% through 2017, from its 2012 pro forma production of 289,000 barrels of oil equivalent per day.

In 2016 the company forecast production to average between 330,000 and 350,000 barrels of oil equivalent per day, excluding Libya. It also reduced its 2016 E&P capital and exploratory expenditure budget to a $2.4 billion, down 40% from 2015.

In the near term, the company's growth will be underpinned by the Bakken, Tubular Bells, and the Utica Shale plays. Longer term growth will benefit from the North Malay Basin project in Malaysia and from Stampede in the Gulf of Mexico, both of which are currently under development.

To raise cash to pay down debt, in 2015 Hess sold a 50% interest in Bakken Midstream business to Global Infrastructure Partners for $2.6 billion and formed a joint venture.

In response to the decline in crude oil prices that began in late 2014, Hess conducted an extensive company-wide review of their cost base. As a result of cost reduction efforts, it decreased E&P capital and exploratory expenditures by $400 million to $4.0 billion in 2015.

In 2014 Hess sold its retail marketing business (1,260 retail gasoline stations, most of which had convenience stores) to Marathon Petroleum for $2.6 billion. It also sold two joint venture investments in natural gas-fueled electric generating projects in Newark and Bayonne, New Jersey.

The company sold all downstream businesses, except for the energy trading joint venture, HETCO, which was sold in February 2015, and its former refinery HOVENSA, which will be shut down in 2015.

In 2014 the company sold of its Pangkah asset to a subsidiary of PT Saka Energi Indonesia. The Indonesian asset produced an average of 9,000 barrels of oil equivalent per day for Hess in 2013.

In 2014 Hess divested its exploration and production assets in Thailand.

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Hess Corporation

1185 Avenue Of The Americas Fl 40
New York, NY 10036-2601
Phone: 1 (212) 997-8500
Fax: 1 (212) 536-8390


  • Employer Type: Public
  • Stock Symbol: HESPRA, HES
  • Stock Exchange: NYSE, NYSE
  • CEO: John B. Hess
  • President and COO: Gregory P. Hill
  • Chairman: James H. Quigley
  • 2016 Employees: 2,304

Major Office Locations

  • New York, NY

Other Locations

  • Washington, DC
  • Ewing, NJ
  • Steubenville, OH
  • Houston, TX