Hess Sanctions Liza Phase 2 Development Offshore Guyana
Hess Corporation Logo header
SEARCH

Hess Sanctions Liza Phase 2 Development Offshore Guyana

  • Lisa_FPSO_cropped
05.03.2019

Hess announced it has received regulatory approval from the government of Guyana and has made a final investment decision to proceed with the second phase of development of the Liza Field on the Stabroek Block, offshore Guyana.

Liza Phase 2 will utilize the Liza Unity Floating Production, Storage and Offloading vessel (FPSO) which will have the capacity to produce up to 220,000 gross barrels of oil per day. Six drill centers are planned with a total of 30 wells, including 15 production wells, nine water injection wells and six gas injection wells. First oil is expected by mid-2022. The development is expected to have a gross capital cost of approximately US$6 billion, including a lease capitalization cost of approximately US$1.6 billion for the FPSO, and will develop approximately 600 million barrels of oil. Excluding pre-sanction and lease costs (which will be accounted for as operating expense), Hess’ net share of development costs is forecast to be approximately US$1.6 billion, of which US$210 million is already included in Hess’ 2019 capital and exploratory budget.

“We are excited to achieve another significant milestone in the development of the Stabroek Block,” CEO John Hess said. “We look forward to continuing to work with the Government of Guyana and our partners to realize the extraordinary potential of this world class resource.” 

Full Story‚Äč
Related News
  • Hess Schedules Q3 2019 Earnings Release Conference Call

    Hess will hold a conference call on Wednesday, October 30, 2019 at 10 a.m. Eastern Time to discuss its third quarter 2019 earnings release.
    Full story
  • Hess Corporation to Receive Cash and Equity from Sale of Hess Infrastructure Partners LP to Hess Midstream Partners LP

    Hess will receive approximately $275 million in cash and approximately 115 million newly issued units in Hess Midstream Partners LP (NYSE: HESM) as part of a proposed transaction announced today by HESM.
    Full story
  • Hess Named to Dow Jones Sustainability Index North America for Tenth Consecutive Year

    Hess has earned a place on the prestigious Dow Jones Sustainability Index (DJSI) North America for the tenth consecutive year. The index, which recognizes public companies for outstanding performance across economic, environmental and social factors, is used as a reference by shareholders who consider sustainability when making investment decisions.
    Full story