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Hess to Spend More on Exploration and Production This Year

January 12, 2017

Floating Production Intelligence LLC.
Hess Corp said it expected to spend $2.25 billion on exploration and production this year, higher than the $1.9 billion it spent in 2016, in one of the first signs that oil firms will raise their budgets in 2017 after years of declines.

Global oil and gas companies are expected to raise exploration and production (E&P) spending in 2017 by 7 percent, Barclays said on Monday.

Oil prices are recovering after a more than two-year slump, partly due to an agreement OPEC signed in November to curb supply.

Hess said on Thursday its budget would go toward deploying additional rigs in North Dakota's Bakken field, developing a field in Guyana and restarting drilling at the Valhall Field in Norway.
 
(Reporting by Swetha Gopinath and Komal Khettry in Bengaluru)

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