John Hess Discusses Oil Price Collapse, Company’s Unique Strengths on CNBC’s Fast Money
Hess Corporation Logo header

John Hess Discusses Oil Price Collapse, Company’s Unique Strengths on CNBC’s Fast Money

  • CNBC1_cropped

CEO John Hess addressed the far-reaching impact of the oil price war on CNBC’s Fast Money on March 12, saying: “The economic problem we're facing today is a lot more than oil, and the oil price crash could be a catalyst that propels the world into an economic recession.”

Hess also said U.S. shale producers will be the real casualty and noted the broader implications. “Shale is a strategic engine of the United States with a significant impact on jobs, national security, and, as we’ve all seen, on the stock market,” he said.

Asked about the impact on Hess Corporation, Hess said, “Our company is in a very strong position to weather the storm. First of all, we have 80% of our oil hedged for this year at $55 WTI and $60 Brent. Secondly, we're going to be making an announcement soon that has a major capex reduction planned... In addition, what makes us different than most of the shale companies in the United States is our diversified portfolio... So our goal right now is to preserve cash, to live to fight another day, and protect the great investment opportunity we have in Guyana.”

Please click for video.

Related News
  • Hess Announces Significant Reduction to 2020 Capital and Exploratory Budget

    Hess Corporation today announced a revised $2.2 billion capital and exploratory budget for 2020, an $800 million reduction from the previous budget of $3.0 billion. The company also announced a new $1.0 billion three year term loan agreement. These actions further strengthen the company’s cash position and financial liquidity in response to the sharp decline in oil prices.
    Full story
  • Hess Corporation to Give $12.5 Million Gift to the Salk Institute to Accelerate Development of Plant-Based Carbon Capture and Storage

    Salk’s Harnessing Plants Initiative (HPI) will receive a $12.5 million gift from Hess Corporation to advance two projects to enhance plants’ natural ability to store carbon and mitigate the effects of climate change: the CRoPS program and the Coastal Plant Restoration program. These projects build on the Salk discovery of a crucial gene that will help the team develop plants with larger root systems capable of absorbing and storing potentially billions of tons of carbon per year from the atmosphere.
    Full story
  • Hess Recognized for Strong Management and ESG Leadership

    Hess has been recognized for strong management and environmental, social and governance (ESG) leadership in recent months. “We see sustainability as fundamental to our long term strategy and performance, supporting our purpose to be the world’s most trusted energy partner," said CEO John Hess.
    Full story