BAKU, Azerbaijan, Jan. 29
By Leman Zeynalova – Trend:
Hess Corporation, headquartered in the US has reported a net loss of $222 million, or $0.73 per common share, in the fourth quarter of 2019, compared with a net loss of $4 million, or $0.05 per common share, in the fourth quarter of 2018, Trend reports with reference to the company.
On an adjusted basis, the Corporation reported a net loss of $180 million, or $0.60 per common share, in the fourth quarter of 2019, compared with an adjusted net loss of $77 million, or $0.31 per common share, in the prior-year quarter.
The decrease in after-tax adjusted results primarily reflects lower natural gas and natural gas liquids realized selling prices, partially offset by higher production volumes and improved Midstream earnings, compared with the prior-year quarter, reads the report.
“Our company had an outstanding year, achieving a number of important milestones and delivering higher production and lower capital and exploratory expenditures for the year than our guidance,” Chief Executive Officer John Hess said. “We look forward to continuing this momentum into 2020 and future years as we execute our differentiated long term strategy.”
Reportedly, E&P net loss was $64 million in the fourth quarter of 2019, compared with a net loss of $5 million in the fourth quarter of 2018.
“On an adjusted basis, E&P’s fourth quarter 2019 net loss was $124 million. The Corporation’s average realized crude oil selling price, including the effect of hedging, was $54.90 per barrel in the fourth quarter of 2019, versus $55.24 per barrel in the prior-year quarter. The average realized natural gas liquids (NGL) selling price in the fourth quarter of 2019 was $13.87 per barrel, versus $21.19 per barrel in the prior-year quarter, while the average realized natural gas selling price was $3.48 per mcf, compared with $4.82 per mcf in the fourth quarter of 2018,” said the company.
Net production, excluding Libya, was 316,000 boepd in the fourth quarter of 2019, up from fourth quarter 2018 net production of 267,000 boepd, according to the report.
“The higher production was primarily driven by the Bakken. Libya net production was 22,000 boepd in both the fourth quarter of 2019 and 2018. Cash operating costs, which include operating costs and expenses, production and severance taxes, and E&P general and administrative expenses, were $12.59 per boe in the fourth quarter, compared with $12.60 per boe in the prior-year quarter. Excluding items affecting comparability of earnings between periods, income tax expense is comprised primarily of taxes in Libya.”
Hess Corporation is a leading global independent energy company engaged in the exploration and production of crude oil and natural gas.
The company has an industry-leading position in a key U.S. shale play -- the Bakken in North Dakota. Hess is also one of the largest producers in the deepwater Gulf of Mexico and a key natural gas producer and supplier to Peninsular Malaysia and Thailand. The company is engaged in exploration and appraisal activities offshore Guyana, participating in one of the industry’s largest oil discoveries in the past decade with the first phase of a planned multi-phase development of the Stabroek Block in Guyana underway.
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