Hess 2008 Annual Report Download - page 40

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The Corporation’s net daily worldwide production was as follows:
2008 2007 2006
Crude oil (thousands of barrels per day)
United States ................................................ 32 31 36
Europe. . . .................................................. 83 93 109
Africa . . . .................................................. 124 115 85
Asia and other ............................................... 13 21 12
Total . . .................................................. 252 260 242
Natural gas liquids (thousands of barrels per day)
United States ................................................ 10 10 10
Europe. . . .................................................. 455
Total . . .................................................. 14 15 15
Natural gas (thousands of mcf per day)
United States ................................................ 78 88 110
Europe. . . .................................................. 255 259 283
Asia and other ............................................... 356 266 219
Total . . .................................................. 689 613 612
Barrels of oil equivalent* (thousands of barrels per day) .................. 381 377 359
* Reflects natural gas production converted on the basis of relative energy content (six mcf equals one barrel).
United States: Crude oil production in the United States was higher in 2008 compared with 2007,
principally due to production from new wells in North Dakota and the deepwater Gulf of Mexico. This increased
production was partially offset by the impact of hurricanes in the Gulf of Mexico. Natural gas production was lower
in 2008, primarily reflecting hurricane downtime and natural decline. Hurricane impacts reduced full year 2008
production by an estimated 7,000 boepd. At December 31, 2008, approximately 15,000 boepd remained shut-in
from the hurricanes and this production is expected to be brought back on line by the end of the first quarter of 2009.
Crude oil and natural gas production in 2007 decreased compared with 2006 principally due to natural decline and
asset sales.
Europe: Crude oil production in 2008 was lower than in 2007, due to temporary shut-ins at three North
Sea fields, cessation of production at the mature Fife, Fergus, Flora and Angus Fields, and natural decline. These
decreases were partially offset by increased production in Russia. Crude oil production in 2007 was lower than in
2006, reflecting natural decline, facilities work on three North Sea fields, and the sale of the Corporation’s interests
in the Scott and Telford Fields in the United Kingdom, partially offset by higher Russian production. Natural gas
production was comparable in 2008 and 2007, but decreased in 2007 compared with 2006 principally due to lower
nominations related to the shut-down of a non-operated pipeline and natural decline. The decreases were partially
offset by higher natural gas production from the Atlantic and Cromarty Fields in the United Kingdom which
commenced in June 2006.
Africa: Crude oil production increased in 2008 compared with 2007, primarily due to higher production
at the Okume Complex in Equatorial Guinea, partially offset by a lower entitlement to Algerian production. Crude
oil production increased in 2007 compared with 2006 primarily due to the start-up of the Okume Complex in
December 2006.
Asia and other: The change in crude oil production from 2006 through 2008 principally reflects
changes to the Corporation’s entitlement to production in Azerbaijan. The increase in 2007 compared with 2006
also reflects increased gross production from the fields in Azerbaijan. Natural gas production increased in 2008
compared with 2007 due to increased production from Block A-18 in the Joint Development Area of Malaysia and
Thailand (JDA) and a full year of production from the Ujung Pangkah Field in Indonesia. Higher natural gas
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