HES - Earnings call transcript Q4 2021

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Operator

Good day ladies and gentlemen and welcome to the Fourth Quarter 2021 Hess Corporation Conference Call. My name is Josh, and I will be your operator for today. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session. [Operator Instructions].

conference recorded this replay reminder, a is for being purposes. As the now Investor to like would conference Relations. to of I President turn over Vice Jay Wilson, Please proceed.

Jay Wilson

thank our Thank for call. everyone Good you, and Josh. participating quarter fourth in earnings conference morning you

issued meaning release call, the and measures morning information filed uncertainties Securities measures certain non-GAAP are we those differ in These Risk of Today’s financial the was set of website, reports section other financial forward-looking measures. subject and appears with website. projections statements A of and forth and can differences found call provided financial the Also Federal statements. that on contains or Hess’ Our actual and our non-GAAP be unknown comparable These reconciliation to statements www.hess.com. between SEC. results this these those directly earnings from GAAP include on conference implied quarterly cause conference may annual within the risks known supplemental the and such in discuss the in may Factors today’s risks our most Laws. to the on expressed

I’ll today speaker’s Hill, prepared Hess, case remarks on John each are turn with Executive following Officer; audio call Chief now issues, presentation. Greg the John any of Hess. call the Chief Financial On posting be Chief of transcripts me and Officer; over In Operating John Rielly, Officer. we to the will www.hess.com

John B. Hess

from well healthy. I continued executing a marks to to discuss will go fourth of the business. and in and inflection I grow point our all strategy mode look XXXX capital our Jay. Good you mode being staying progress execution an ahead. quarter to morning Today are conference our families Greg able strategy to invest you Rielly still results. while as of and Then and call. of review cover we our year investment in provide return our the our Thank welcome John financial at will will Hill your operations hope and our

continues at been deliver and supply, while industry has flow consensus our a social, cash industry disclosure. same growth to governance in maintain deliver leading time strategy environmental, and high Our resource the be deliver to low growth, leadership return cost and to

been of In terms developments. we and best of Southeast returns with for portfolio allocating Deepwater oil to Mexico, of builds Guyana differentiated resource Bakken, stocks low the growth, the cost in have best Asia, capital disciplined on and multiple phases it the Gulf its focused the

cash assets all expect four flow of We be to XXXX. these free generative in

terms of cash the versus XX% to by XXXX making, portfolio XXXX. of positioned our investments In $XX our one because of decreasing $X are the Brent. of cost supply, low oil the per of industry forecast barrel to in decline we are is And lowest to the barrel breakeven XXXX be equivalent approximately of per cost to in

flow and terms of industry growth, we rate an cash have of durability change leading In story.

you to out to at year the compound and price of twice rate barrel its $XX portfolio. based a of a cash that investment XXXX per positioned a business are at of grow XX% our in grow is flow rate We flow cash to can upon topline its per Brent have your business any want

building will this X $X years, $XX annually for durable Phase Liza quarter, investment flow growth. can where the at first in been cash has mode cash which the is it on to our company of deliver net add operating portfolio billion oil for on flow Our last several project, Brent. track The

loan and our million our repay term the to base dividend. $XXX of plan we up, start project increase to Following remaining

Last all be and last be both according meet dual scenarios, in needed about In province provides which in industry’s also more significantly free largest recent study a much these world energy value more over global years, challenge accelerate Energy industry Wood $XXX the need $XXX estimate multiple the year’s The particularly gas will our our base and be these emissions dividend share oil As Energy oil will in to XX over supply Key the $XXX gas. decades one our for IEA investment by and reasonable The top energy the of lowest investment approximately by the high in was for intensity billion. more the flow highest net the renewables latest the Outlook the oil billion. global zero grow A was XX% low XXXX, of positive carbon that growing oil discovered underinvestment is increasingly growing will becomes and new and our repurchases. XX cost, Mackenzie. decade, IEA Guyana, coming billion oil number developments cash In resources year positioned and to priority margin, strategy reaching next scenarios investment required, gas from for by is our much be the each to years. come given by of International next globally to demand, XXXX. World addressing years. portfolio scenarios years will is and to in Agency’s to

capital are in disciplined, and more energy to transition. invest remain companies need ensure gas and secure and to we just So currently affordable, while oil an to than also oil investors need and gas we

Bakken. exploratory the ahead, which for year to plans budget allocated XX% our approximately $X.X to and our is and will be of billion, capital XXXX Turning Guyana the

XX% where capacity on Hess we at least oil to Stabroek or FPSOs and to discovered of and a develop for is operator, more potential barrels the the interest storage six FPSOs with production and X floating up million XXXX offloading vessels production On Guyana, block. has see in continue of ExxonMobil the day the resources a in than the to XX gross per Block

a have and the Brent block developments of breakeven Our on oil per three between $XX barrel. price sanctioned oil $XX

optimization the X oil expected at is track Liza approximately capacity production following a per work. The capacity Guyana is XXX,XXX terms per oil for Liza on barrels production of gross development gross In quarter oil XXX,XXX development of X of increase Phase this with Phase our production day. barrels to startup more than to day of developments,

make will at development barrels Block, on to third the Field on is gross Stabroek the this development capacity date startup class full support The day. Government production project Yellowtail oil has also approximately on Our production third economics a Block track the nearly review, which Payara party of with X billion is of has gross XXX,XXX a XXX,XXX finalizing of day. per and continues oil largest progress, with Guyana, developing XXXX. XXXX, the the track to for in of of for approximately of in barrels world Stabroek per capacity and barrels be startup on of production The oil, its remains Yellowtail

and Block. two continue active an program Earlier in block and exploration we with on invest wells. this Lau to month, Guyana Lau We in XXXX, more Fangtooth at wells significant will discoveries announced the XX the appraisal approximately in for Stabroek planned the

at first infrastructure. Bakken, underpin of these applying efficiency. and and of the job barrels rig exploration operate exploration In principles in will discoveries Greg and our of further cash our enable lower than we to block our free development keep resource continue to for opportunities. multibillion the to manufacturing and we which us block. down lean results further future our do the culture barrels queue and cost potential oil to future flow, of exploration the three of billion standalone Positive a optimize cash of estimate With driving potential building innovation confirm costs gross deep costs, prospect, low a Fangtooth, continue XXXX, outstanding program significant remaining. Both plan recoverable unit equivalent XX generate team to the is see more discoveries, Bakken our an discovered deeper

offshore. the in was to invest of continue invest at the Gulf well commodity field, cash our Asia, Llano prices. and Huron-X also the operated Southeast and deferred and also previously we will in COVID a drilling facilities, to engines drill tieback low some which will of in we exploration due well Mexico, We and will In

We pandemic. especially delivering operating are values living proud by strong of working the Hess results workforce for the our during safely and

As we sustainability will to our our execute priority. remain top commitment a strategy, continue to

for World Bank’s the senior target set initiative Our five have and reduction endorsed to from aggressive the XXXX of Routine a and by leadership XXXX. emissions gas end for have targets Flaring greenhouse flaring eliminate year our Board Zero by recently, we Most set operations routine have XXXX.

the Annual Jones as the have an in year. disclosure. XXth to throughout December, honored in of in our are been a we status place XXXX year consecutive our Analysis XXXX for November XXth summary, performance earned North execution social, for Global achieved and and on industry Sustainability inflection Dow an Climate governance Index environmental, recognized leadership We and America In for In marks CDP’s the the point strategy. in consecutive leader

We have Greg the enables now our proposition, return over shareholders. to highest update. start a durable in growth to industry unique cash to portfolio built and to returns a also that delivering of will differentiated us the an offering in flow for to cash projects call invest some I turn value continue our the growing operational

Gregory P. Hill

of equivalent. XXXX equivalent. at year and proved $X.XX of production oil an including Starting totaled XXX was XXXX strong reserve of X.X the of end and equivalent, and XXX reserves oil another reserves, additions of operating barrels approximately overall execution strategic million ratio Thanks, barrels at proved John. equivalent, of million replacement a Net barrels of oil in stood finding revisions price resulting net with cost development XXXX Hess. oil positive for XXXX performance of billion barrel in per of XXX%

XXX,XXX fourth in equivalent net Now oil barrels with excluding turning Libya production. our line guidance. In production averaged to year XXXX, full and company-wide of quarter per day, the

and we Libya. For XX% the equivalent between to oil XXXX, net per excluding by XXX,XXX day, to XXX,XXX full of year average barrels XX% forecast increase production and

excluding equivalent forecast average XXXX the For of per the Guyana of with we in day, to Bakken, barrels expected forecast Bakken, and of increase driven year forecast and per and oil XXXX, barrels In This quarter net production severe of both full equivalent fourth of per reflects between of weather both equivalent fields first XXX,XXX course XXX,XXX XXX,XXX impacts in to maintenance Libya. Liza and averaging Gulf remedial guidance, net day. and is with fourth Destiny FPSO line of on production oil respectively. production were for XXX,XXX the year the and by Bakken, day downtime the between and Penn average the our work. to Mexico, Baldpate the Companywide work oil the State production XXX,XXX the at significantly the planned optimization barrels net the in quarter quarter XXX,XXX over

expect years rig in approximately can inventory activity. three we robust representing to XX drill XXXX, XX of approximately operate to a quarter that drilling In attractive wells and new gross WTI, wells bring XXXX, have returns the X,XXX we wells online. to new and and We approximately drill XX XX $XX plan generate rigs locations XX of plan wells of online. the operated In at first approximately approximately Bakken bring

be In at than per technology expected last costs offset year, wells online expect of our we drilling expect completion $XXX,XXX to year In well. inflation and to quarter. averaged through million fully For $X.X XXXX, approximately the million, gains, lean balance per or bring flat and XXXX, XXXX. well of efficiency per average Bakken therefore was the driven X% cost lower we anticipated D&C XX manufacturing to an $X.X are which and with

net XXX,XXX a X% For the increase oil year to and per XXXX. over day, equivalent average X% full Bakken forecast of to we between XXXX, barrels production XXX,XXX

production and First which from the conditions. expect net to average added production day. addition is equivalent of we in per oil in quarter XXX,XXX ramp course average September, to to oil of barrels barrels third the of XXX,XXX improving the fourth the last forecast equivalent XXX,XXX weather XXXX between Net XXX,XXX and steadily rig, and quarter. Beginning forecast the benefit to over and is per second quarter of day Bakken we between

important an XX,XXX day the the full Gulf Deepwater our per Mexico, averaged for net XX,XXX per fourth The production offshore, Huron of Shell-operated hiatus, the and oil of Gulf one a operations Green the well as at in Moving remains a cash at for XXXX, equivalent engine planned two-year XX. Deepwater exploration guidance. oil drilling on well growth. the barrels we and in of quarter to one XXXX, Canyon well in barrels Field, resume as platform equivalent year for Hess-operated will of with the planned line Mexico Llano after day company tieback with Block In the prospect

across imaging class opportunities, focused the from have our five first farmout is the in acreage Green our Canyon, there best we interest hub is getting potential of we Over multiple, process. efforts high high-return years, during Miocene multiple opportunities. the on for where position last class which attracted Huron Northern parties in believe these

first We Shell having expect XX% as to and Hess spud XX% at Huron working Chevron quarter, in interest the operator a with each. and

Shell this working XX% prospects February, will Miocene our from Llano-X by Chevron, barrels and we potential XX,XXX Hess spud rate equivalent have to about In back excited and to Green Shell tied well a build of interest. the to of per are across with oil to plateau platform, accessed As Canyon production year. of part Auger agreements the end plans with well a development be The expected and has Shell’s between gross the XX,XXX play. which of additional the well, also in in further day

forecast the day. equivalent full of Mexico year average approximately we barrels in Gulf production per to the of XX,XXX XXXX, oil For net

XX% net of average year to between production XXXX, the XX,XXX barrels quarter day. XX,XXX barrels and per equivalent per of Southeast where Hess equivalent Development Malay oil line XX,XXX with Asia, Joint a XX,XXX the day from and production barrels averaged quarter North the fourth has Basin, in net is of for per our equivalent in day full oil interest, In and forecast First Area guidance. oil

equivalent XXXX, equivalent barrels between Asia year quarter, per the day. to the we of XX,XXX in of forecast production For we Southeast day. barrels approximately full average XX,XXX In oil to and net production forecast first net XX,XXX average per oil

operator. where Hess Guyana, XX% Block has is to interest the the Stabroek and in a ExxonMobil Turning

XXXX of We and in more day Guyana production fourth increased estimate equivalent. full to our exploration have oil oil the our for barrels from per extraordinary continued line run our year day guidance. of of barrels oil barrels Net recoverable of XX,XXX the XX,XXX averaged discovered XX gross success resources quarter in of billion XXXX, than with per and of

Stabroek Stabroek Fangtooth on mentioned, reflecting confirm Southeastern we coming Lau net average standalone appraisal well queue full at average and approach results. XX,XXX discovery will we exploration previously on this quarter our be of the the Stabroek to conducted Block development approach and XX,XXX oil we complete barrels Lau. our ultimate Appraisal optimum In Positive opportunities to quarter development Lau determine and XX,XXX of Liza the portion Fangtooth, of increase the timing. announced significant analysis for optimization Destiny low-cost future fourth and determine to further production the production and year underpins net in oil exploration planned the production the Lau require from will and also forecast results downtime production between forecast will between For first of months, per as deeper per to the barrels between timing. net Block. of month per XX,XXX development oil will the XX,XXX of Earlier at This XXXX, Guyana in day to deep discoveries In day. the exploration barrels XX,XXX then the the Guyana activities first help day. we in potential and of Block. the the prospect,

existing spud types. We December Santonian area near variety will part age of continue discoveries. Liza, deeper our in of and The This spud will target with Lukanani-X These play of program lower in is miles is March. targets. to appraisal we and exploration targets of and see XX will with step a Stabroek is lower multi carbonate. of to Barreleye-X, first potential lower in and well test March. clastics, Campanian of near anticipated XX Southeastern will Cataback-X the Turbot spud the quarter include operations. on target is that to of X Northwest miles plus focused completion in approximately The the in discoveries, is located Southeast wells Jurassic the Patwa-X billion on risk a several to wells approximately Fangtooth The clastic XX Cretaceous lower anticipated well reservoirs. Tarpon-X, target target shallow west appraisal miles Exploration discovery, Lower miles Campanian The is clastic Campanian well primary with XXXX reservoirs, The drill prospects outs, XXXX, reservoirs. for upper delineating risk in Stabroek following well include; exploration barrels Block located will plan be X that and approximately penetrations Maastrichtian objectives located on in wells secondary Pluma will Block, approximately XXth. primary of deeper developments. planned The Northwest and future Campanian intervals. secondary of XXXX spud deeper is and Liza. approximately the higher

First Southeast XXXX appraise Tilapia-X will spud discovery approximately the include quarter of the the miles Turbot well, is Liza-X. activities in area to located appraisal will XX Tilapia-X and March. well February The appraisal anticipated in

conduct plan we Pinktail-X. at to Tilapia-X addition, stem In and drill tests

to a projects. Plan the optimization XXX,XXX XX% activity first Liza plan is regard the Development on and Liza for been Field both At SURF Impact topside vessel now track and our vessel’s Prosperity of for are the quarter world extraordinary Phase for we production the the The project Guyana our regulatory will and of increase will developments. begin with include day. in complete. capacity. drilling capacity production the ahead Initial With of submitted and approximately XXXX. be designed for hull Phase hookup the for Assessment XXXX. Unity government The this the Unity Destiny gross start conducted remains XXXX of Turning a Work review. to also to is construction project X in are vessel of planned planned activities this drilling FPSO. the start-up after installation by XXXX. to progressing October Environmental X, Payara March development is include startup in commissioning the on campaign. Plan oil approval complete, Liza production the arriving track and FPSO FPSO project to undergoing class Guyanese potential on barrels work work, Development final waters in activities of turnaround year at and of is the will to forward production potential Guyana following supportive is Development Yellowtail Field partners are government. the will Yellowtail, Singapore activities Liza of development, in have A the Government The project, We continuing with preparing per for ongoing government activities project. XXXX our for Payara, fourth in overall third and look to and realize for

Suriname, a Block, styles. our as play the operator, underway turn one shareholders. to have they the John call with has increase Deep returns trap in net flow, quarter mid-year. Moving around first extension Block I and planning Santonian closing, on a in our and XXXX with to fourth to for the which and at over continues will expected of to Shell, from in production the XX execution Shell, to Bakken approximate in well potential Liza interest potential. XX. underpin operating increasing and XX% In see acreage to increase start-up play types Phase similar We drill drive production working be a well between steadily increase is the Chevron Rielly. targeting an our the now play exploration the strong. cash X cash and prospect Block The each of to commitment Stabroek third The indicated quarter the second will expect significant are along Zanderij-X that Hess

John P. Rielly

of fourth my will today, provide for the the to of guidance third In XXXX. and Thanks compare quarter XXXX results Greg. XXXX quarter I remarks from

interests of million in an Turning our from which million net quarter third in million quarter XXXX. $XX gain of to the results, income basis, we of in third income million after-tax net compared had excludes of an sale the the fourth of was adjusted Denmark. XXXX $XXX quarter $XX $XXX with On

with by third Turning income of earnings decreased $XXX net quarter. realized $XX prices decreased earnings as after-tax cash components quarter by sales Higher and volume million expenses $XX E&P costs to income $XXX million. $XX The of million. changes E&P, the were million. million expense between adjusted Higher earnings earnings earnings the fourth by items of million. the $XXX earnings midstream had other XXXX million. follows; Higher adjusted by Higher in $XXX by Higher higher decreased million. decreased selling in of million. tariff DD&A increased the $XX All net expense third exploration increased by compared results E&P $X in quarter earnings decreased by fourth

increase fourth For an in earnings quarter $XXX overall of million.

production quarter, over fourth million. the after-tax by were compared lifted For volumes XXX,XXX by barrels which approximately approximately increased with our sales E&P income $XX

income to $XX of to million Turning of of $XXX segment EBITDA, million in million in prior the Midstream. non-controlling $XX XXXX with in Midstream XXXX $XXX with quarter. amounted the fourth The net quarter in the million before quarter compared had Midstream compared previous fourth quarter. interests, the

the due cash quarter. compared by were October, capital quarter, $X.XX sales activities including in offering operating In and volumes. Turning facilities, quarter, before higher to million cash third the cash at after working Hess-owned operating committed net in of million finance billion obligations third public net compared activities totaled equivalents of $XXX $XXX $XXX In the debt our In with credit primarily $XXX by and our shares remaining through period our $XXX increase we startup to million we X royalties loan operations the and January on Post dividend. XXXX XXXX, With intend December the off with in Libyan and million was excluding In taxes development, quarter of pay liquidity paid XXXX. $XXX term operating prices X.X to approximately Midstream. income the the and we well the million realized net cash the shareholders and was growth, proceeds $XXX our positions, the to was Phase changes metrics received industry majority flow million in liabilities total for our selling significantly $X.X cash accrued of related and billion. A $X.X to increasing through million of assets committed Hess and million November Class flow quarter, from cash Liza provided are share increase and to fourth end, returning our We and returns changes leading fourth liquidity and dividend positioned years. remain our financial we available the improve our provided billion, coming to further cash credit lease cash Midstream, increases to repurchases. free strong while position, shareholders of in

guidance. Now turning to

for to in of X unit half cash barrel equivalent full DD&A in second year costs, capacity. the to ramp reduces for of for forecast of initial expense, the E&P, oil $XX costs, the $XX equivalent expected excluding production be higher equivalent million first range range $XX E&P equivalent quarter full our to project year. full the per barrel and $XXX of for following to of production $XX the First E&P XXXX. be year barrel to Cash to million XXXX. in year $XX in $XX.XX quarter million we and barrel first in range is equivalent Libya, $XXX cash $XXX production to excluding first projected $XX.XX of This range lower of quarter for impact year first for to of and the unit tariff $XXX cost be is the to $XX.XX excluding Liza expense, for to oil of $XXX full the Libya, oil. be for million million costs to oil and the million and million in oil is the Phase to first year. be $X,XXX the million its quarter in excluding E&P projected XXXX. dry for per reflecting Libya, million the costs be range per $XXX oil oil first of the expected the to X of for the in total Libya, low in $XX.XX $X,XXX companywide $XX costs, of barrel full million results $XX million to $XX costs, for range the Guyana of million expected the as $XX.XX $XX reaches barrel in excluding for per to The tax income to of $XX.XX as the the Midstream be equivalent Phase quarter to the year the Liza per are first Libya, XXXX full per-unit per expenses, to the Exploration for and of during to are operating quarter range excluding the $XX.XX hole

XX,XXX purchased we ceiling year and average have barrel XXXX, oil of barrel. WTI per with of of calendar day For for $XXX price an monthly per collars barrels $XX floor per price an monthly average

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quarter first March. lift of to first liftings Unity full which Unity we from our lifts option coming a premium total Liza XXXX. currently Guyana two at the Liza third Liza Guyana two from projected per we In of liftings amortization, million reaches the eight these by second in the for three occur the results liftings. prices, with expected have expect year, the per to end and year million of quarter for production, this non-cash which After FPSOs. $XX our Destiny quarter reflected to full is quarter, five quarter, to the realized have be expect or from approximately We reduce $XXX our expect will the we in from selling expect approximately In

in we the Guyana. expect XX For liftings year full XXXX,

expected full $X.X exploratory are quarter in and first and expenditures $XXX approximately E&P the year Our be for XXXX. to approximately capital million the billion

income $XXX for million to to and the For quarter $XXX million to XXXX. Hess be Midstream full million from attributable million range Midstream, first to in net the the of we anticipate $XX year the for $XX segment

of For full are Interest for estimated million $XX for quarter corporate, range expenses million $XXX to for in the the corporate to is This and concludes expense the full $XXX $XX million quarter XXXX. $XX and to million to the $XXX be first year. be in to million million for the range year estimated to $XXX my remarks. million million first the of $XX

happy questions. I to will answer the to will be We operator. the any call now turn over

Operator

[Operator Instructions].

comes Jeanine with line Wai first the Your from question Barclays. of

Jeanine Wai

Thanks taking everyone. morning, good for morning. questions. Good Hi,

And question return where dividend on increases, about the trajectory shareholders more higher for that of majority on pretty is could John then the share is you've the dividend them? needs are on Hess. be the more your meaningful but base you in that but maybe color for earlier really Payara thinking XXXX, an level the cash the the of you've accelerate any for you more to but your base online think past, dividend them the first the commented then that How estimates, modest base that Our than target and initiate been on that? is catalyst in is buybacks, priority, but first the repurchases, coming is clear

John B. Hess

Jeanine, thank you.

returning and $XXX In of on will producing our of the up start also pay terms we return of X communicate increase our how base remaining capital we dividend. and of At our free where we that the on just our time, we'll cash to lease to off once we'll our term take million is framework, capital plan Phase flow. dividend loan want but framework, oil, return not the also

will dividend to And the in our dividend it share you majority premium dividend shareholders also to the intend as yield. itself, have compounding grows, and as reminder, plan cash saying terms our meaningful our our been dividend accelerating our to as of that cash dividend the earlier, free have S&P base we've the by increasing that consistent in cash we a of a further a we flow flow As does, to return flow have said XXX repurchases.

Jeanine Wai

you Thank great. for that Okay, color.

John maybe more Can from question expect can just a color housekeeping release maybe related the and it's to rest second million, The a and you XXX and and that we this clarification paid income on Libyan what Libya, that little tax of royalties Hess Rielly, for was of anything bit provide XXXX? last for of Our accrued operations year. January on thing. just in indicated if

John P. Rielly

our January to by Then, partners And to payment. Waha and Libyan receiving were payments taxes mentioned just Waha released mentioned related taxes our recently and had after release did and from we release my Basically, paid it. during partners instructions make concessions. the us production royalties discussion. Jeanine. authorities so Hess these on Sure, instructed and held royalties it the authorities tax as the we royalties those other those in and and the withhold in I was our to Hess earlier

It's just is this royalties paid normal forward, typically to our related and Going production. monthly. taxes

here be it expect monthly in We paid to XXXX.

just XXXX. I they know, from would So so operations all say what normal during just in those all cash all and you go all things that's royalties, taxes mean, And forward is. in were are flow I the accrued, earnings,

John B. Hess

announced a Total of to And approval government ConocoPhillips. both Total still in as the recently from and And, reminder, sale. and Libya, we are Jeanine, interests the on sale our final that awaiting

Jeanine Wai

Great, thank you.

John B. Hess

you. Thank

Operator

Thank you.

from Jayaram comes J.P. with question next Morgan. Your Arun

Arun Jayaram

And returns I kind framework morning. John, as give good of Yeah, on capital if insights near-term. could adopting you how allocation maybe formal about a us wondering some was you're for thinking this. you about talked you

this, some approach E&P your peers while flexible. are peers have your major formulaic very a little of more of to Some bit a

if thoughts So are wondering the us a are on I and was you how thinking maybe about of that? Board bit little you give could

John B. Hess

It question. is a Yeah, great no.

We dividend, producing allocate further return. the and of X increasing flow flow intend with our cash be very free it will that is our much will oil. how of running shareholders But up the by we intend back in how flow capital, be will lease their share clear and cash they increasing pretty cash will once framework first the our cash as and It about our will By we have But dividend also that then dividend the but to compounds, accelerating to Phase out free have of some we the our commitment and intend to piece of be flexibility majority repurchases. it. free coming shareholders. the further majority will we go also our how flow a to in of return clear

of return announce we capital framework it you're the be clarity and help the think will question when to I asking. provide clear

Arun Jayaram

project mentioned include on just resources Greg, the follow is Guyana. a barrels. billion my and that up could Great, of you Yellowtail

Payara. you of So kind could like to I wonder compare how relative looks this if development

subsea let kits the more to are think an I FPSO. a bit bigger of

could then some questions? it objectives wanted like. as program of look on And Ghana, I maybe the well XXXX get So how insights in provide thoughts this exploration on targeting thoughts some as those but maybe maybe on give some you're two to us like the looks more some elephants,

Gregory P. Hill

Sure.

your Arun. second take first me question let So

remarks, been. year always the mentioned like twofold, I have my in of program opening they objectives this as are the So,

explore The first new one to opportunities. being for

also that includes as in penetrations that Campanian, in things deeper right. section upper So we saw the Fangtooth, but more the

year, exploration about so And is and wells two of about this are at the third going we're appraisal if thirds those look wells, that wells. one to XX do you wells

existing So and quarter then is the for with the that that where with up and about. headed exploration I be about playout that talked the FPSOs deeper out also is figure the exploration course, of side. lined my year opening zones cue And we're shallower we're of zones appraising to pretty remarks we've kind going development what the active to that. on that XX again, first the that to out this program, of vessels, And we testing discovery so appraisal, can as

a Stabroek back question mentioned, class as on to first barrels XXX,XXX day. date of billion capacity developments, nearly on largest all, Yellowtail Now, if a of a oil, it's have you I be get the will gross so the new your the to Block. develop of It's to world Yellowtail going barrels economics

also bigger got and it's So sides more it's got top bit wells. little a

XX wells, wells. have whereas Payara XX will Yellowtail So has

So area extent, a it's project, fantastic just large reservoir. bigger of very very

one world the, be to of going again, it's class the So economics.

John B. Hess

the offshore highest the developments, lower to industry, returns or be comparing Payara. Shell of comparing breakeven some to will a it than it going Yeah, in that cost have to oil just and

Arun Jayaram

a thanks gents. lot Great,

Operator

Thank you.

of next Doug question America. with comes from Bank Leggate Your

Doug Leggate

to everybody. Year I but Year, Thanks. Happy too New don't everybody. Happy late Good New say know if it's morning,

not or I'm sure I John news given question touched Greg, earlier. a So, portfolio but the want who ask wants you Libya to to this on take

You I look Mexico times [indiscernible] else Payara, the I Mexico, have when so the the one Gulf at But given put footprint on. five and and a into in of of is production keeper adding Obviously, Gulf portfolio, maintaining Mexico. the in cared, production got the of on. very, longer essentially term a when current for ask Yellowtail to if to has taken the be large Gulf the effort advantage no very you've so of that

portfolio? Gulf on stays long the So thoughts just the term in whether

John B. Hess

Yeah, Greg.

Gregory P. Hill

sorry, to a me get Yeah, on took off second mute.

So Doug, an talked engine and Mexico the remains for before, platform as growth Gulf we of for important cash Hess.

the and We Deepwater drilling Gulf. delivery have project capability quartile in both top in

good of very it opportunities flow XX selectively And so and than and important there. that as have our more class prospects, be these we've really hub, high the first cash capability have said, and again, of would Gulf balance rebuilding also lease that's, is to well, I backs, here province Hess, execute Mexico, we do rank tie you And high opportunities, acquire glass a selectively the cash exploration that as generation hub return both returns off of on there. for sustained back portfolio, remains production the objective been prices. blocks our the that And at Gulf cap tie maintain through pursuing hopefully, mentioned, return in Mexico low

So it's for core hold a us.

Doug Leggate

Rielly to, balance it's a be about curious, see very the they're to sizable absolute say, your leading like where levels think peers, amount bring is John, level when probably debt, does that's talking Appreciate to you're of generate, question. terms able clear. Okay, about actually and priority right of example? the sheet flow follow-up cash as question of zero the so a What you sit the sector for going to you that debt, the free the framework return down scale still debt. let's cash actually do of John some carry in I'm in net you that just answer. My debt

John P. Rielly

Doug. Sure,

to So got Phase that Then million liquidity start pay are off rising our know, we the pay it's and million. up we've XXXX, XXXX. as as we another flow right, term that position do a with then maturity and have to maturity X, really free loan. cash $XXX Liza of you maturity because don't our once next debt in off remaining going intend, until XXXX, $XXX until you We said is we

we under we're debt That's we're with this we EBITDAX. to -- to if times level And run when other obviously XXXX of off the me just it and going on EBITDAX. $XX bring that we out, to absolute debt debt and pay say our let So FPSOs, drive like amount that happy to down leverage we Payara X have. we gross, Brent

position, really as So we're improving I mentioned strong, have low leverage metrics, a going to earlier. credit

with are absolute we level, So our that from there. debt level grows happy that debt as EBITDAX

to either there's balance very now, at with so We've this then we our at. NPVs where run they're low from cash levels some free cash that increase right just are obviously, benefit. the more sheet, will repurchases, so And growing be return of the but that flow on the also with we share over the dividend rising then the at doing returns And is rising comfortable will from leaving from with real debt debt flow development off said, be free no paying like But leverage, we doing Payara, versus well. time point too Yellowtail, things free we'll cash shareholders, point. and the with with as that our strong

on we're position capital in good think strong development, sheet, with to I shareholders. this So really increasing coming a return these Guyana balance low-cost and for of

Doug Leggate

fellows. the appreciate again. Thanks Great, answer

Operator

Thank you.

with Your Mehta Goldman Neil next question from Sachs. comes

Neil Mehta

John. here. A morning morning couple of team. Good Good questions

How at gating think do of give well, around as on? the around start-up sense first any an X. operational around and turned is one just standpoint, about away Liza thoughts the you going Payara here you logistics from is We're construction just these can start-up. issues a getting any Our it around weeks from how assets so

John B. Hess

please. Greg, Yes,

Gregory P. Hill

Yes, sure.

Phase talk first. me about just let So X

have at So been XX start-up. Those available to we'll All all the go. ready wells are have recovered. risers

risers. nearly is up complete. So they're we've of readiness got ports still so FPSO left some few commission a hooked into now. commissioning their those to The topside We've got

still for Payara. track slightly we remarks. but our early relatively now are ahead in we that quarter at if that Neil, So running startup Payara, first project, again, on is you right said opening schedule look we're means the as in in what of it's And

we're track say firmly that for XXXX would startup. on I So

project as here the So we is XX% today. about complete sit

Payara again, days is in track operator But startup. we're I some think so the contingency in there in for XXXX but it's having point, on good shape. early this So at wise

Neil Mehta

John, John on Thanks strategy Greg and here the for and here. the is follow-up hedging

there. ceiling So around you update increased price an the the and collars did provide

own and for the how talk Just your you about think XX oil the tying as last about don't mind, Brent, you of talked the anything to macro if way you've optimal the constructive, you John, is worse you've is near changing better been couple to over of into months? hedging were about view the that approach or relative what

John P. Rielly

over Sure, with hand it really start But Niel. and John with strategy. our it hedging doing our to is I'll strategy, we're then what Hess. past consistent

significant ensure protection, to in invest did have to we XXXX. So our in world-class which opportunity as we we we want continue Guyana, price that in

have So barrels WTI of just day puts floor And at XX,XXX then to per $XX. of day puts Brent a floor a XX,XXX $XX. of a with oil have we at we barrels reiterate, of

prices cost this a reduce additional of $X flow the in than $XX the high use retaining of higher calls basically case so exposure at per cash have program we WTI ceiling to while oil floor. we call hedged billion year, $XXX to for did the greater Now above and the in Brent the

oil So unhedged well and NGL higher as of in have prices. obviously, will benefit all from our addition, that we haven't hedged gas production and production we

say this shareholders with we giving Guyana. downside continue as also invest I majority upside significant provide while in protection the to our our of So opportunity when consistent to the we strategy, is

John B. Hess

to on upside constructive Yes, of And view majority our very shareholders. approach the and and market giving with reflect downside Neil. of it the the our a consistent obviously, does protecting the

about year of XX.X on at by is a back that we function side globally a V-shaped XXX and we'll operating. day next outlook, pre-COVID Supply down, more U-shape the it's a We is but cases day barrels a number of as God. of And day had We barrels side, increases million demand XXX a demand to the see travel oil macro more the probably production. barrels million million think think the probably in end the so. pre-COVID. adds XXXX. the the as Shale XXX recovery, about international at different, at over global rig recovery, see million pace thank rigs the XXX,XXX XX be X starting of month year of about count million temporary about On a day, unfolds, going end see a because sticky. growing levels of tempered of of up barrels setback about or day increased day barrels short oil increasing U.S. demand a we the of Remember, end jet of barrels year U.S. production that's a still the Omicron,

pre-COVID commentators. levels recovery, stick XXX,XXX sounds they're on quotas written has countries at their as increases been barrels number to are shale day So of A oil going not meeting OPEC not terms to but of by their in production. like absolute is each the there. month couple a of U.S. a

global now OPEC to eaten plus, we recovery oil been in tempered million which ago, discipline tempered in recovery oil billion than excess say, year all and half $X.X less inventories inventories a all been shale up pre-COVID and barrels had So disciplined in XXX April, adds again, of That's levels. I'd global which inventories, about up globally. see

gas to an scenario to investing with signal constructive the the increasing, going referred go International Energy to the upon to Outlook And supply we're grow as World inventory Depending more credible giving to do industry you not earlier. year, really, which oil demand. oil any scenario has increase, that. is OPEC investment investment Agency, currently, and pick, And price what plus, enough oil pretty needed gas is not spare you and on Energy is we're global to meet from be capacity oil the demand through much this that tight, market. a in is why I as So

disciplined, time grow capacity the balance production capital have to going grow we're at resource So being but of world. same to to the the capital have the and of shareholders, right returning the

think the market challenge the ahead. have a presents also as And that's that I oil constructive So really that unfolds. we year

Neil Mehta

Thanks John.

John B. Hess

you. Thank

Operator

you. Thank

Your next question comes Cheng with from Scotiabank. Paul

your may with You proceed question.

Paul Cheng

and terms penetrated ratio, guess kind also anything morning. guys, is Greg, quality that the of differences tell the and that looking oil comparing the other of for formation, other you any see is of oil terms I you're good you formation, one Hey questions, for when more significant share? in is the Fangtooth can any one Rielly. shale can gas we or John different there in at to you conclusion two that permeability, Greg that the us there and have

Gregory P. Hill

first I say is thing towards in so exploration at remember, Paul, country. I'd which the our first positive standalone prospect that So was lease, of it's guess deep up and results the it's kind Fangtooth

potential Block. So exploration the very good it of oil quality, and the confirms Stabroek deeper

So the development to of in approach. activities Fangtooth the coming then months, to complete we're going plan analysis well well, determine best the really appraisal that and the

see potentially through zones to these developments tiebacks being developed deeper standalone we as generally, existing a So FPSOs. combination and of

saw same the Also very So at thing, crude that those confirmed penetrations by very good we zones had remember, the to reservoir deeper results other Fangtooth. good quality prior Fangtooth we into and encouraged, properties. pleased

wells to past. drill this deeper the lot That's of kind than excited. year we're in very going years So a why more prospectivity

encouraged we're outcome the Fangtooth. space, this about by And but particular so watch in

Paul Cheng

the can can you the and oil it's data in of is or there but gas any the comparison that understand ratio, share? the that grade terms oil we kind and provide the Well, permeability good, contrast of of you

Gregory P. Hill

again, more we the some Fangtooth to No, not need some in of analysis area. appraisal at do this more particularly point and do because wells the of

Paul Cheng

Okay.

Rielly question your to went fourth full are down is John quarter to going capacity that. for second unit because by that and is these The Guyana a the come lot cost two you all indicated that, the

and unit But you the -- have it tool you decided that the a that be also not dividend may next variable the between guys the about have that that dividend. fourth better quarter by start what's plus should saying you And have that dividend looked cost company? the you you the So buyback. know you that the that and I is then contract buyback variable the not that why variable have buyback at right in and Guyana? talking you for tool -- is minuses the year I'm

the internal case? has the how curious debate Just that been

John P. Rielly

Sure.

start So me let with cash costs.

through unit cost. our basically said mentioned, Guyana the lower costs be dropping and it's I comes year, Phase will as and as So X you online

barrel costs remind boat you X, are the that Let Guyana. saying were obviously, me a where the there just for cost cash what On Phase per it's $XX. and we've is smaller been

However, that optimization you us the we're did production work. doing mention hear

gross is going up. that So capacity XX

cash it the per production when optimization when as be is per Phase both per X, also for barrel mention for cost I So is On of cost decreasing barrel we're $XX that the are fully the and X completed. Phase Phase will is running. barrel that up X cash FPSO. these leasing should

purchase of $X to for post $X But down $XX. to actually FPSOs. will So drop this Phase the around X year

cash per barrel cash under the you've John. increasing you then to around does, So is have Bakken got what pass cost X our production $XX the And $XX. drop Phase it the by and for costs I'll it will X Phase company with quarter, quarter. fourth to along in in fourth for the over And $XX

John B. Hess

that Yes. Paul? Paul, you, is is -- some

Paul Cheng

Yes. Yes.

John B. Hess

feedback. some getting were we No, Yes. Okay.

timing said, of paid In consistent dividend and share way in the from and dividend the million we the once on debt up And better don't of done go. that, We the base sustains to our off creation are X is terms think studies. I the long-term repurchases remaining strengthening as of producing, value. loan. Liza we've term variable Phase the dividend, $XXX terms believe a We of

will our We dividend. increase base

in of of the growth increase. and as the repurchases function our cash conditions flow. will process you look and be And share start in forward further accelerating that then will time, We dividend increases a market

the for competitive. very very and something will think I that So be framework be that clear will

Paul Cheng

that Guyana I X? unit John. in we FPSO Okay. terms back you're when when mean, your in your about per those X, this I that, X, the -- say, when report will back X on different that for time secondly, about Phase consortium what $XX Phase of to is or into Rielly, actual is what financial be for do -- based cost, to the Liza or that you reported line wondering in on, that number, your the John -- for you talking that Phase your in barrels the day buy X, Liza are XXX,XXX talking statement go and what that designed Thank And you're $XX both is those but the can expect denominator you statement? is financial

John P. Rielly

Okay.

So answering first. statements. that's reported question Yes, your what our in last will be financial

want you if our, that's entitlement to call it, So production cost our cash net Guyana. our in on

expect that, the the those timing those XXXX with And as specific far the the is in noted, we don't having the SBN So of XXXX. And release, in numbers. date said our CAPEX any when on you that But you when the of or actual FPSOs. still are is of FPSO discussions operator, ExxonMobil that in give XXXX set. as we'll purchases, purchases purchases as

Paul Cheng

Thank you.

John P. Rielly

welcome. are You

Operator

Thank you.

Deckelbaum comes question David Your with Cowen. next from

David Deckelbaum

to here. looked make It additions Thank try report. net on I you your Thanks one question guys squeezing it quick. increased in the capture or have primarily John. had there organically just for like from that reserve the $XXX will you Bakken. drill I were just me performance there the like at press reflecting some noted were well? been Is gas where million, as release revisions in the bit,

John B. Hess

John...

Gregory P. Hill

-- ahead. No, have go been there

John B. Hess

ahead, Go Greg.

You go first.

Gregory P. Hill

Yes.

other bringing we there increase, five-year plan the which look, additional price XXX. wells due into was in. in So wells Bakken the to additions then brought our both performance were plus But

adds you if wells the and Bakken, plan. then of about right? $XXX the at bringing million, price we million adds also both to about $XXX additional So look the of had five-year performance So specifically Bakken, and into

David Deckelbaum

Greg. John, last then Great, on question. just my thanks. color Appreciate maybe that, for And the

line Just that out million around have I you you've for the noted time beyond. down many that loan. fact paying really $XXX -- maturities the term laid the don't

outside a here, ramps times XQ, free talked frame, the that about with stack? we the investment tangible some refinancing cash of of sort of thinking coinciding in guess, about should think be And how on time you midyear? at obvious which I As, about of sort profile leverage XQ higher one you run rate from have debt cost that of grade our benefits sort that getting we the do sub of numbers

John P. Rielly

and FPSOs are flow, debt with grows. So be basically, to cash as targeting are -- as the I metrics free cash as a on. EBITDAX one, free each our under cash and we again, and going obviously, comes And our growing our significantly improve growing like our and said, we on flow cash that growing debt achieve will flow to gross flow to

with with with and on grade of two rating we're the one. but I say can't Now positive specifically them, agencies are one, Obviously, have below we timing. the on outlook investment a

our So become flow as I expect, grade as investment we'll improve do our actually improves, cash flow that we'll and grows. cash from we today where are

fund want base is also strategy sheet, that the we for resource have So balance strong our obviously, do return shareholders. what growing to have from own a to we and try to standpoint to further we

the So FPSO credit from each to position, standpoint, metrics liquidity of will still our shareholders. well. well as leverage, increasing cash improve outcome comes And as just a on, as low having and returns it mentioned continue which it will that our then strong be improve you will of our strategy providing as to

spot. to the a is in nice So be set portfolio

we'll kind has year, As on the John it mentioned expect to inflection it grow from is of earlier, and here.

David Deckelbaum

Appreciate guys. answers the

John B. Hess

you. Thank

Operator

you. Thank

Todd Piper question from next Ryan Your comes with Sandler.

Ryan Todd

program have I to Bakken, impact further stay closer know I get eventually How talked does to rig, quick barrels would Maybe prices something about of of is to high ones. be XXX,XXX that of the on a a outlook by day. know timing the year, much if this oil down and medium-term that a end the just think the as couple a line? adding a is fourth Good, the about four-rig price thanks. that you've the in of back possible or wanted production plateau we

John B. Hess

Greg. ahead, Go

Gregory P. Hill

talked the a the portfolio engine. of is Ryan, Bakken Again, I before, be cash Yes. think role to the in we've as

or to decisions fourth timing any going pace of depend addition on needs corporate the returns. flow is So of rig cash also upon and

doing inventory add we we take day level, broadly we a the with said this that Bakken at could at day a having at prices would that, with flat assuming rigs, could look a barrels to high relatively fourth that and Now XXX,XXX rig. And the to hold by we for year. have then rig almost four hold next so, that that decade barrels fourth XXX,XXX

day, Now at barrels XXX,XXX really the we maximize of utilization a infrastructure.

generator. that And be at would that that cash of about day, it this these at generates $XX, the infrastructure flow. cash and, XXX,XXX barrels So free fill Bakken becomes to billion objective even $XX of another up a to $X massive course, at prices

real of cash So you firepower can see the Bakken. the

Ryan Todd

-- well maybe inflation appreciate then in And and cost Greg. comments cost the Bakken the on Thanks earlier. I

As of comments you an potential portfolio, think particularly environment, place upcoming sanctions? you're the project or think on the material in any about we of in offshore rest about cost service as what terms seeing in

John B. Hess

please? Greg,

Gregory P. Hill

sure. Yes,

So some like in offshore. inflation seeing we're onshore, also the the

insulated largely well. by increases doing offshore majority recall the development job -- offshore is that right were our just ExxonMobil covered Guyana. now projects an across the by as one there down the plus of are offshore portfolio course, currently the build contracts outstanding strategy cost this efficiencies from in current with of in And design that increases EPC However, of driven cost delivering is in portfolio

at our the -- drill of look that's to in Gulf Mexico, rate. going the well, you rig Heron $XXX,XXX day If the

I offshore a that So relative still drilling. on the think low reflects basis of cost the

Ryan Todd

Thanks help. the for

Operator

you. Thank

question comes next Research. Your Bernstein with from Brackett Bob

Bob Brackett

a a Good to to completion. a morning Payara, and type around I'm going try date all. I had percent question and

quarters not ago. So sanctioned was maybe five if I'm incorrect, Payara

at maybe from now, it's First time, eight-plus same but expected is XX% quarters the production complete.

limiting you maybe if for So talk can steps the about those numbers maybe are right, for rate and developments? future Payara

John B. Hess

yours. it's morning great Greg, question. Good Bob,

Gregory P. Hill

Sure, are is campaigns. Payara yes. Payara, think, I there Bob, offshore so different about installation three what's

have during campaign. you or campaigns, because there, into is there XX% more the down offshore you complete. three the But yes, project installation have So project issues issues, installation are you little that current do contingency don't build because some anything bit hurricane a currents will while

Payara. that the agree that's stage the So contingency this with still do appropriate why of the project. We thing there's that's at in operator to

again, A now, are early And XXXX track firmly startup. it's so little for days. we but on a right ahead

Bob Brackett

Understood. a in rule number thumb do Guyana can a Is the drillship of good of development there in year? for a wells,

Gregory P. Hill

You drilling? mean terms of in

Bob Brackett

Yes.

Gregory P. Hill

No bespoke. Bob, it's kind really of

some Some horizontals ones, of of for than example longer these other are these in developments.

as again, horizontals, reservoirs thumb great So they're of because, the each but not I development rule what only not that there's on tapping into of a also well. is say bespoke the very length would

Bob Brackett

thanks Okay, all. And fair point.

Operator

you. Thank

Noel Tuohy Brothers. Your next Parks question from with comes

Noel Parks

in this a data just point I be what's there's the a morning. for you're year. was quite there's out because expansion. of question the time the some informative general so sounds you're there first are, possibility like tapping large then also step-outs the wondering next I had program most you're about looking particular to of Good And it aerial them believe, the some going program at Guyana. I for formations exploratory going

was of a up And of opens your wondering surprises so I new doors, meets lot really if these any expectations? or if it

John B. Hess

Greg? Yes.

Gregory P. Hill

of expiration, No, A) upper year's penetrations kind the more of is but to to get do also the deep. I Campanion objectives continue in is most program importantly to think again, the this

well to is deep but lower is and as Campanian we're X then primary Campanion some to are in penetrations got going wells feature Tarpon first the And kind lower some cretaceous watching has be which reservoir. targets deeper a also which Patwa-X quarter the X it's Lukanani-X but we're So that in the it closely, target, these going the finally, that upper lower that got Barreleye in the And Jurassic plus has shallower Campanian see. spud some Campanion reservoirs. And objectives of is we carbonate upper in also space then are which then things another well.

see play mixture So a types. it's you can

program. They're significant." in that's all call on "Oh, I most and year's So the They're wells promising seismic. very say, wouldn't one to all specifically out significant want this

Noel Parks

And them your most of seen? through then, of already have those seismic you've largely informed -- by things of are or analogies expectations you have then targets actual that any identified or are any deeper them are

Gregory P. Hill

seismic -- I have they're all think they features, right. all No,

down is So the seismic their primary signature. driver here

better as the seismic more kind the we in additional from show what is we've deep, improve at of out to even wells pick these will we're go going more obviously, teasing as that that deeper forward. data up getting And Now gotten us. data we

Noel Parks

Thanks Okay, lot. a great.

Operator

Thank you.

question David Energy. Your from Pickering comes Heikkinen next with

David Heikkinen

sure thinking morning guys about Good this just that and correctly. I'm really making

of taxpayers be spending years. faster continue and to at You couple the a to the in cost build fencing in a and next Malaysia pool U.S. then Guyana for pace continue your in all ring cash the given

XXXX but and hug prices it, full bunch of correct? is, already you're essentially way oil got but XXXX thinking oil of the about you payer a a this, call cash $XX-plus thinking is Just that we're is it, the higher taxes, higher

John P. Rielly

David, no.

So we for the us, are taxpayers not in cash U.S.

and carryforward. for see years loss -- even don't say, operating us just And high I five I beyond. net a have these taxes prices, with would paying let's We yes, cash

The the Asia, only and where in U.S. that's place really small are Southeast is in that are we a So portfolio. paying in -- amount the cash taxes it's we that's

David Heikkinen

I said that I opposite. think

a I brain... little got Sorry,

John P. Rielly

do rate. obviously XX.X% when you our -- in it a only looking is see no. I ex-Libya. you're always No, tax it The at Libya has thing because would

taxes So Guyana that And within one the the place cash then we taxes. paying that's the are are PSC. actually

entitlement So we them so in and net there. it's in the economics our pay

David Heikkinen

Yes, cost keep pool building even for you the a at these next years just prices. three

John P. Rielly

Correct.

David Heikkinen

Yes.

Okay, thanks guys.

that apologies. said My I think I opposite.

John B. Hess

problem. no No,

David Heikkinen

Thank all. you You question. have my answered

Operator

Thank you.

question next Phillips One. Capital comes Johnston with Your from

Phillips Johnston

thanks. guys, Hey

on production Just Greg one question the for outlook.

large can the realized around I wondering trend depending gas fluctuate year? mix around the if for the know You and but we just on so help Mexico of numbers production, just should year, for stick a guys throughout NGL how and could and oil throughout you with mix the with and the rest should the from ramp high-level prices, on guidance XX% year? XX% have Gulf of Bakken don't of oil those in you the and the Bakken or both but Bakken Mexico the us of give Gulf a I perspective, capture specific the

Gregory P. Hill

Yes.

So first. the let's Bakken address

several a still So at constant and first for be we of have all, of well undeveloped lot XX% is in us the the years And will next around for the Bakken. the at because wellhead mix locations. that's

and capture you're right, and all that's results, get the pup gas the contracts corporate and goes to how you XX%. our volumes get increased and that's Now when it you our that, to to XX% third-party of because

Mexico at the mix. to that's So same you that you're broadly, target a XX% be could on or Gulf of corporate assume mix Gulf. And that the kind of in level, going so the for

Phillips Johnston

perfect. Greg. Okay, Thanks

Gregory P. Hill

you. Thank

Operator

today's you you for your Thank much. very conference. This concludes Thank participation.

may great You Have disconnect. a day. now

Hess (HES) 26 Jan 222021 Q4 Earnings call transcript