Hess declares 2020 Bakken plans: $1.3B for drilling, completion

By Luke Geiver | January 28, 2020

Hess Corp intends to run six drilling rigs in the Bakken shale play throughout 2020. The exploration and production company with interests in both land and offshore oil and gas development, said the drilling rig program will help Hess push net oil production in the Bakken up to roughly 200,000 barrels of oil equivalent per day.

“We continue to successfully execute our long-term strategy, with the majority of our capital budget directed to Guyana and the Bakken—two of the highest return investment opportunities in our industry that will become significant, long term cash generators for our company,” CEO John Hess said. “We are well positioned to deliver industry leading cash flow growth while also achieving significant reductions in our unit costs, which will drive margin expansion and lower our breakeven oil price to below $40 per barrel Brent by 2025.”

In the Bakken, Hess will spend up to $1.375 billion to drill 170 new wells and bring another 175 new wells online this year. Additional spending could be put towards the funding of non-operated wells.

Hess will continue to pursue its Guyana offshore assets and explore in the deepwater Gulf of Mexico. The company is currently working to develop and bring online several offshore projects that could produce significant volumes of oil by mid-2022.