Market Overview

Hess Announces Increased Resource Estimate for Stabroek Block, Offshore Guyana

  • Estimate of gross discovered recoverable resources for the Stabroek
    Block increased to more than 4 billion barrels of oil equivalent
  • Planning underway for a third phase of development
  • Total discoveries to date establish potential to produce over
    750,000 barrels per day by 2025

Hess Corporation (NYSE:HES) today announced an increased estimate of
gross discovered recoverable resources for the Stabroek Block, offshore
Guyana to more than 4 billion barrels of oil equivalent, up from the
previous estimate of 3.2 billion barrels of oil equivalent.

The increase follows completion of testing at the Liza-5 appraisal well,
a discovery at Ranger, incorporation of results from the eighth
discovery on the Block at the Longtail exploration well into the Turbot
area evaluation, and completion of the Pacora discovery evaluation. This
evaluation supports a third phase of development and consideration of
two additional phases. There is potential for additional development
phases from significant undrilled targets and plans for rapid
exploration and appraisal drilling, including at the Ranger discovery.

"The Stabroek Block is a massive world class resource that keeps getting
bigger and better," CEO John Hess said. "Since the end of 2016, the
estimate for recoverable resources on the block has quadrupled and we
continue to see multi billion barrels of additional exploration
potential on the block. We believe the investment opportunity in Guyana
has the potential to be transformative for our company and create
significant value for our shareholders for many years to come."

The Liza phase 1 development sanctioned in June 2017 is progressing
rapidly. Development drilling began this May and construction of the
floating production, storage and offloading vessel (FPSO) and subsea
equipment is under way, laying the foundation for first production of
gross 120,000 barrels of oil per day by early 2020. Phase 2 of the Liza
development, which is targeted for sanction by the end of this year,
will use a second FPSO with gross production capacity of approximately
220,000 barrels of oil per day – start up for Phase 2 is expected by mid

The Liza-5 well, which successfully tested the northern portion of the
Liza Field, along with the giant Payara Field will support a third phase
of development in Guyana. Planning is underway for this third phase of
development, which is targeted to be sanctioned in 2019 and will use an
FPSO designed to produce approximately 180,000 barrels of oil per day,
with first production as early as 2023.

The Longtail discovery established the Turbot-Longtail area as a
potential development hub for recovery of more than 500 million barrels
of oil equivalent. Additional prospects to be drilled in this area could
increase this estimate.

The collective discoveries on the Stabroek Block to date have
established the potential for up to five FPSOs producing over 750,000
barrels per day by 2025.

The Stabroek Block is 6.6 million acres (26,800 square kilometers). Esso
Exploration and Production Guyana Limited is operator and holds a 45
percent interest in the Stabroek Block. Hess Guyana Exploration Ltd.
holds a 30 percent interest and CNOOC Nexen Petroleum Guyana Limited
holds a 25 percent interest.

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

Cautionary Statements

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.

We use certain terms in this release relating to resources other than
proved reserves, such as unproved reserves or resources. Investors are
urged to consider closely the disclosure relating to proved reserves in
Hess' Form 10-K, File No. 1-1204, available from Hess Corporation, 1185
Avenue of the Americas, New York, New York 10036 c/o Corporate Secretary
and on our website at
You can also obtain this form from the SEC on the EDGAR system.

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