Hess 2014 Annual Report Download - page 8

Download and view the complete annual report

Please find page 8 of the 2014 Hess annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 137

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137

6
of 77,000 net acres in the dry gas area of the play
which generated cash proceeds of approximately
$1.1 billion.
In the deepwater Gulf of Mexico, net production
averaged 70,000 barrels of oil equivalent per day in
2014, compared to 59,000 barrels of oil equivalent per
day in 2013. Production was higher as a result of a
full year of production from the Llano-4 well and
lower downtime.
In West Africa, net production from Block G in
Equatorial Guinea (85% working interest, operator)
averaged 43,000 barrels of oil equivalent per day in
2014, compared to 44,000 barrels of oil equivalent per
day in 2013. Drilling at the Okume Complex continued
throughout 2014 with four new producers being
completed and brought online to offset natural
eld decline.
In the Norwegian North Sea, net production from the
Valhall Field (64% working interest) averaged 31,000
barrels of oil equivalent per day in 2014 compared
to 23,000 barrels of oil equivalent per day in 2013.
The higher year over year production reects the
completion of the Valhall Redevelopment Project
during 2013. In the Danish North Sea, net production
from the South Arne Field (62% working interest,
operator) ramped up to 13,000 barrels of oil equivalent
per day compared to 9,000 barrels of oil equivalent
per day in 2013. Following the installation of two new
wellhead platforms in 2013, four new wells were drilled
and brought into production during 2014.
Developments
In the deepwater Gulf of Mexico, production facilities
were successfully installed at the Tubular Bells Field
(57% working interest, operator) and rst production
was achieved in the fourth quarter of 2014. The rst
three producers are now online and continue to ramp
up with a fourth expected to be brought online during
2015. Net production is expected to average between
30,000 and 35,000 barrels of oil equivalent per day
in 2015. Also in the Gulf of Mexico, the Stampede
development (25% working interest, operator) was
sanctioned by all project co-owners in October of
2014. Drilling is expected to commence in late 2015
with rst oil targeted for 2018.
In Asia, the Malaysia/Thailand Joint Development
Area (50% working interest) achieved rst production
at wellhead platform 11. The operator, Carigali Hess,
Visualization Room, Houston, Texas