Hess Announces Bakken Midstream Joint Venture Valued at $5.35 Billion
Hess Corporation Logo
SEARCH

Hess Announces Bakken Midstream Joint Venture Valued at $5.35 Billion

  • Bakken_Winter_2013__Hubel__HES_8425_20131218_medium

Hess Corporation has agreed to sell a 50 percent interest in its Bakken midstream assets to Global Infrastructure Partners, a leading global infrastructure investor with an extensive midstream energy investment track record, for cash consideration of $2.675 billion. Hess and Global Infrastructure Partners will create a premier midstream joint venture – Hess Infrastructure Partners. Upon closing, the joint venture will incur $600 million of debt through a 5-year Term Loan A facility with proceeds distributed equally to both partners, resulting in total after-tax cash proceeds, net to Hess, of $3.0 billion. In addition the joint venture will have independent access to capital including a $400 million 5-year Senior Revolving Credit Facility, which is fully committed. The joint venture upon closing plans to continue to pursue a proposed initial public offering (IPO) of Hess Midstream Partners LP common units.

Highlights

  • Hess to Sell 50% Interest in Bakken Midstream Assets for $2.675 Billion

  • Total After-Tax Cash Proceeds to Hess of $3.0 Billion Including JV Debt Issuance

  • Hess to Retain Operational Control of Bakken Midstream Assets

  • Transaction to Deliver Significant and Immediate Value to Shareholders

Click here for the press release

Latest Hess News
  • Hess Schedules Earnings Release Conference Call

    NEW YORK--(BUSINESS WIRE)--Jul. 5, 2017-- Hess Corporation (NYSE:HES) announced today that it will hold a conference call on Wednesday, July 26, 2017 at 10 a.m. Eastern Daylight Time to discuss its second quarter 2017 earnings release.
    Full story
  • Hess Sanctions Liza Phase 1 Development Offshore Guyana

    Hess has sanctioned the first phase of development of the Liza Field, one of the industry’s largest oil discoveries, located on the Stabroek Block offshore Guyana.
    Full story
  • In the Media: WSJ cites Hess as Part of Bakken Drilling Resurgence

    Drillers are inching back to action in North Dakota’s Bakken shale region, a sign of the recovery of the American oil and gas sector, writes the Wall Street Journal.
    Full story