Hess Announces Bakken Midstream Joint Venture Valued at $5.35 Billion
Hess Corporation Logo header
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 to Participate in Citi Global Energy & Utilities Conference

    Hess announced today that John Hess, Chief Executive Officer, will present at the Citi Global Energy & Utilities Conference in Boston on Tuesday, May 15 at 4:15 p.m. Eastern Time. A live audio webcast and a replay of the presentation will be available.
    Full story
  • Hess Ranked Top Oil and Gas Company on 2018 Best Corporate Citizens List

    Hess has earned a place as the No. 1 oil and gas company on Corporate Responsibility magazine’s prestigious list of 100 Best Corporate Citizens for 2018. Hess is ranked No. 40 on the 2018 list, moving up 11 places from last year’s ranking. The company has been named to the list each of the last 11 years.
    Full story
  • Hess in the Media: Stampede stays astride in turbulent times

    Hess credits the successful launch of Stampede to its ability to stick to plan amid change as crucial to its ultimate execution of the project, says Gerbert Schoonman, Hess vice president for global production offshore.
    Full story