Hess Announces Bakken Midstream Joint Venture Valued at $5.35 Billion
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.
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
Hess to Participate in Bank of America Merrill Lynch 2019 Global Energy Conference
CEO John Hess will deliver a keynote presentation: Perspectives on Global Oil Outlook at the Bank of America Merrill Lynch 2019 Global Energy Conference in Miami Beach, FL Nov. 13, 2019.
Hess Reports Estimated Results for the Third Quarter of 2019
Hess today reported a net loss of $205 million, or $0.68 per common share, in the third quarter of 2019, compared with a net loss of $42 million, or $0.18 per common share, in the third quarter of 2018. “We achieved strong operational performance once again this quarter, delivering higher production and lower capital and exploratory expenditures than previous guidance,” Chief Executive Officer John Hess said.
Hess Announces Gulf of Mexico Oil Discovery and Plans for Tie Back to Tubular Bells Production Facilities
Hess Corporation today announced an oil discovery at the Esox-1 exploration well located in Mississippi Canyon Block No. 726 in the deepwater Gulf of Mexico.
“We expect the well to be producing in the first quarter of 2020. As a low cost tieback to existing infrastructure, Esox should generate strong financial returns,” CEO John Hess said.