NEW YORK–(BUSINESS WIRE)–#Permian–Hess Corporation (NYSE:HES) today announced it has entered into an
agreement to sell its interests in enhanced oil recovery (EOR) assets in
the Permian Basin to Occidental Petroleum Corporation (NYSE:OXY) for a
total consideration of $600 million, effective June 1, 2017. Proceeds
from the sale will be used to fund the company’s strong growth
The transaction consists of the following Hess-operated assets: the
Seminole-San Andres Unit (Hess 34.2% interest) and the Seminole Gas
Processing Plant (Hess 46.6% interest) in Texas; the West Bravo Dome C02
field in New Mexico (Hess 100% interest); and a 9.9% non-operated
interest in the Bravo Dome unit in New Mexico. These assets produced an
average of 8,200 barrels of oil equivalent per day in 2016 net to Hess.
The agreement is subject to regulatory approvals and other customary
closing conditions and is expected to close August 1, 2017.
Hess Corporation is a leading global independent energy company engaged
in the exploration and production of crude oil and natural gas. More
information on Hess Corporation is available at http://www.hess.com.
This news release contains projections and other forward-looking
statements within the meaning of Section 27A of the Securities Act of
1933 and Section 21E of the Securities Exchange Act of 1934. These
projections and statements reflect the company’s current views with
respect to future events and financial performance. No assurances can be
given, however, that these events will occur or that these projections
will be achieved, and actual results could differ materially from those
projected as a result of certain risk factors. A discussion of these
risk factors is included in the company’s periodic reports filed with
the Securities and Exchange Commission.