Hess Corporation GOLDMAN SACHS ENERGY AND CLEAN TECHNOLOGY CONFERENCE January 6, 2022
Uniquely Positioned To Deliver Long Term Value Differentiated portfolio provides high financial returns and annualized production growth of 10% through 2026 Deliver High All assets generate sustainable free cash flow beginning in 2022…
Superior Operating & Financial Metrics Portfolio at inflection point generating increasing free cash flow Production1 Cash Costs2 MBOED /BOE Significant cash flow 500 12 growth 25% CAGR 10% CAGR through 20263 9 295 Portfolio…
Increasing Financial Strength Strong cash position, hedges and industry leading cash flow growth Near Term Debt Maturities 2.41 B cash at Sep 30, 2021 billions - 3.5 B undrawn revolving credit facility 1.0 Robust - 6.0 B of…
Global Energy Demand Oil & gas essential to meeting global energy demand Primary Energy Demand Outlook (IEA) Exajoule (EJ) 2040 Outlook by IEA Scenario1 Energy demand led by 2020 Stated Announced Sustainable Net Zero population…
Commitment to Sustainability Taking action to reduce emissions Strategy and reporting Outperformed 5-year Set new 5-year aligned with TCFD1 emission reduction emission reduction recommendations targets for 2020 targets for 20253…
Commitment to Sustainability Values drive value for the benefit of all stakeholders Safety Social Responsibility Multidisciplinary team overseeing Hess Guided by commitments to international voluntary COVID-19 response; safety of…
Guyana: Stabroek Block World class petroleum province with potential for up to 10 FPSOs Hess 30% interest; (Operator: ) Stabroek Water Depth: 5,500 - 11,000 ft ExxonMobil 45% (Op) Drilling TD: 17,000 - 23,000 ft 6.6 million acres…
Guyana: Stabroek Block World class investment opportunity Industrys largest new oil province in the last decade - 10 BBOE gross discovered recoverable resource - Multi billion barrels of remaining exploration upside Exceptional…
Guyana Developments Third development at Payara sanctioned in September 2020 Liza Phase 1: Destiny Liza Phase 2: Unity Payara: Prosperity Discovered in 2015 Discovered in 2015 Discovered in 2017 First oil achieved 2019 First oil…
Guyana: Industry Leading Metrics Global performance Guyana in a league of its own Operating Cash Margin vs. Scope 1+2 Emissions Intensity 2021-25 Production CAGR 80 (BOE) Top 15 Thailand 70 Guyana Mozambique Canada Oil Sands 60…
South East Asia: JDA and North Malay Basin Stable long term free cash flow generation 2021 net production of 60 MBOED JDA Strategic/ Thailand Portfolio 2021 net capex of 165 MM Context Established operator, strong partnership with…
Gulf of Mexico Significant free cash flow generation, high returns with upside 2021 net production 45 MBOED Strategic/ 2021 net capex of 15 MM Conger T-Bells Portfolio (Hess) (Hess) Context Plan to resume focused program of tie-backs…
Bakken Cash engine generating significant free cash flow Shift from growth engine to cash engine Leading Acreage Position Divide Focus on efficiencies via Lean principles to Burke Strategic/ Tioga Rail Terminal maximize cash flow…
Bakken Significant inventory of high return locations Future Locations with IRRs at 15% or Above 2021 Bakken Development Well Plan Gross number of economic locations at various WTI prices1 Beaver Goliath East 3rd rig Sep 2021…
Bakken Competitively advantaged infrastructure supports Bakken development Strategic infrastructure supporting Hess development Export flexibility provides access to highest value markets 70% volume currently linked to Brent based…
Portfolio Delivers Industry Leading Cash Flow Growth CFFO CAGR to 2024 leads peers and other key sectors Consensus CFFO CAGR Consensus CFFO CAGR Peers 2021 to 2024 2021 to 2024 20 % 14 % 11 % 9% Median 6 % 7% 6% 6% 2% 2% 1% 20…
Summary All assets free cash flow positive beginning in 2022 Recognized leader for our ESG performance and disclosures Multi phases of low cost Guyana oil developments to drive industry leading cash flow growth and financial…
Appendix: Reconciliation of Non-GAAP Measures Reconciliation of U.S. GAAP to Non-GAAP Measures This presentation includes certain non-GAAP financial measures, including free cash flow and E&P debt to EBITDAX. These Non- GAAP financial…
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