Core Viewpoint - There is significant speculation regarding the potential acquisition of Hess Midstream by Chevron if Chevron's acquisition of Hess is successful, indicating a strategic interest in Hess Midstream's value [1] Group 1: Investment Perspective - The market is perceived to be overly focused on short-term challenges, leading to mispricing of fundamentally strong companies, which presents long-term investment opportunities [1] - The emphasis is on uncovering short-term mispricings to unlock long-term value in companies like Hess Midstream [1]

Hess Midstream Investor Relations Presentation January 2025 Forward-Looking Statements This presentation contains "forward-looking statements" within the meaning of U.S. federal securities laws. Words such as "anticipate," "estimate," "expect," "forecast," "guidance," "could," "may," "should," "would," "believe," "intend," "project," "plan," "predict," "will," "target," "imply" and similar expressions identify forward-looking statements, which are not historical in nature. Our forward-looking statements may ...

Core Insights - Hess Corporation (HES) shares have increased by 13% over the past six months, outperforming the oil-energy sector and the Zacks S&P 500 composite, which grew by 4.7% and 1.5% respectively. The company's market capitalization stands at $44 billion [1] - The company is currently trading above its 50-day simple moving average (SMA), indicating a bullish trend [2] - Hess's disciplined cost control has led to a 6.4% sequential increase in upstream income to $563 million, despite weaker oil prices and volumes [5][8] - The Yellowtail project in Guyana is on track for startup in Q3 2025, with an expected initial production capacity of 250,000 barrels of oil per day [7] - The average price target for Hess shares is $160.97, suggesting a potential upside of 13.56% from the last closing price [11] Financial Performance - Adjusted net income for Hess's exploration and production (E&P) segment rose 6.4% sequentially to $563 million in Q1 2025, despite lower oil prices and reduced sales volumes [8] - Cash operating costs were reported at $12.27 per barrel of oil equivalent (Boe), and depreciation, depletion, and amortization (DD&A) costs were $13.25/Boe, both within manageable ranges [9] - Capital and exploratory expenditure increased to $1.09 billion in Q1 2025 from $927 million a year earlier, with over half directed towards high-return projects in Guyana [10] Strategic Focus - Hess's investment strategy emphasizes high-return assets, particularly in offshore Guyana, with major developments like Uaru, Yellowtail, and Whiptail expected to drive long-term production and cash flow growth [10] - The company has a strong earnings surprise history, surpassing earnings estimates in the last four quarters with an average surprise of 9.58% [14]

Group 1 - Hess Midstream shares have performed well over the past year, gaining 6% and offering a dividend yield of over 7% [1] - Despite the gains, shares remain below pre-Liberation Day highs due to pressure from oil prices [1]

Industry Overview - The Zacks Oil & Gas – Integrated - United States industry presents a strong investment case due to energy security, solid infrastructure, and supportive regulations [1] - The U.S. shale boom has enhanced cost efficiency, scalable production, and access to high-quality pipelines and refineries, leading to improved profitability and resilience [1] - U.S. companies are well-positioned to meet long-term domestic natural gas demand, driven by power generation, coal-to-gas transition, and increasing LNG exports [1] Company Analysis: Occidental Petroleum (OXY) - Occidental Petroleum combines steady cash flow from its Permian Basin and global oil and gas assets with a growing focus on carbon management solutions [3] - The company is supported by Berkshire Hathaway, providing long-term value through a balanced approach to traditional energy production and scalable low-carbon technologies [3] - The Zacks Consensus Estimate indicates a year-over-year earnings decline of 32.66% for 2025, followed by growth of 14.38% for 2026 [6] - Current dividend yield for Occidental Petroleum is 2.33%, higher than the S&P 500's yield of 1.6% [12] - Occidental's return on equity (ROE) is 16.6%, compared to the industry average of 16.94% [13] - The company's debt-to-capital ratio stands at 40.64% [14] - Occidental is trading at a trailing 12-month EV/EBITDA of 4.87X, which is lower than Hess Corporation's 7.23X [15] - In the last month, shares of Occidental Petroleum gained 4.5% [16] - Approximately 83% of Occidental's production comes from domestic assets, with stable international operations and ongoing debt reduction acting as tailwinds [19] Company Analysis: Hess Corporation (HES) - Hess Corporation is focused on sustainable growth and has invested in renewable energy projects to reduce greenhouse gas emissions [4] - The company is undergoing a major transition with a pending acquisition by Chevron, currently under arbitration due to disputes over its Guyana assets [4] - The Zacks Consensus Estimate indicates a year-over-year earnings decline of 38.53% for 2025, followed by growth of 20.14% for 2026 [9] - Current dividend yield for Hess Corporation is 1.53% [12] - Hess's return on equity (ROE) is 21.78%, higher than Occidental's [13] - The company's debt-to-capital ratio is 41.48% [14] - Hess Corporation's trailing 12-month EV/EBITDA is 7.23X [15] - International operations, particularly in Guyana, are a significant source of oil and gas production for Hess [19] Conclusion - Based on the analysis, Occidental Petroleum is suggested for inclusion in oil and gas portfolios, while Hess Corporation is recommended to be avoided for the time being [20]

Core Viewpoint - A significant corporate conflict is occurring between Chevron and ExxonMobil over the Stabroek Block in Guyana, with Chevron's $53 billion acquisition of Hess Corporation facing opposition from ExxonMobil due to claims of a contractual right of first refusal [1][2] Group 1: Chevron's Position - Chevron's acquisition of Hess is crucial as its oil and gas reserves have decreased to 9.8 billion barrels, the lowest in over a decade, making the addition of Hess's stake vital for improving its reserve replacement ratio [3] - The transaction has received approval from Chevron's shareholders and U.S. regulators, but its success now hinges on the arbitration ruling regarding the joint operating agreement [4] - Chevron has proactively purchased approximately 5% of Hess's outstanding shares in anticipation of a favorable arbitration outcome, with over $10 billion in Hess stock acquired by merger-arbitrage funds [4] Group 2: ExxonMobil's Position - ExxonMobil perceives Hess's potential sale to Chevron as a threat to its control over the Guyana project and a disruption of a long-standing partnership [5] - The CEO of ExxonMobil emphasizes the importance of upholding its rights under the operating agreement, citing the early development risks taken by the company [5] - The legal dispute has strained the previously cordial relationship between the CEOs of ExxonMobil and Chevron, with the outcome expected to influence future interpretations of pre-emption rights in corporate acquisitions [6] Group 3: Industry Implications - The arbitration ruling, expected by the end of Q3, could set a precedent for how pre-emption rights are applied in high-value energy ventures, impacting strategic decisions across the oil and energy sector for years to come [6][7] - Regardless of the arbitration outcome, the case will have lasting effects on the competitive dynamics within the oil industry, determining whether Chevron secures a critical growth engine or Exxon consolidates its control [7]

Group 1 - The People's Bank of China and the State Administration of Foreign Exchange plan to improve the management of funds raised by domestic companies for overseas listings, emphasizing that funds from overseas listings should generally be returned to the domestic market [2] - The Chinese government is encouraging foreign financial institutions, including Citigroup and Carlyle Group, to invest in China's capital market and deepen cooperation [3][4] - The actual use of foreign capital in China decreased by 10.9% year-on-year in the first four months of this year, with significant increases in investments from Japan, Switzerland, and the UK [4] Group 2 - The Hong Kong stock market saw a mixed performance, with the Hang Seng Index closing up 0.24% while the Hang Seng Tech Index fell 0.09% [6] - Major brokerages are optimistic about the A-share market's performance in the second half of the year, with technology and domestic consumption sectors being core investment directions [6] - Miniso reported a total revenue of 4.43 billion yuan in the first quarter, a year-on-year increase of 19%, with overseas revenue growing by 30% [7] Group 3 - The China Securities Regulatory Commission approved the IPO registration of Shandong Electric Power on the Shenzhen Stock Exchange [9] - The China Securities Regulatory Commission has agreed to the registration of aluminum alloy futures and options on the Shanghai Futures Exchange [24] - The first batch of 26 new floating rate funds has been registered with the CSRC and is expected to be offered to investors soon [10]

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据了解，这场堪称两大美国油气巨头的"世纪斗争"围绕埃克森声称对赫斯所持圭亚那近海富油区块—— Stabroek油田区块的股权优先购买权。自2023年宣布收购交易以来，该争端一直是雪佛龙收购赫斯交易 面临的最大障碍。如今，在一年多的互诉与索赔之后，事件似乎正接近终点。 套利型对冲基金们对听证会结果抱有很大的希望，他们已经买入了价值约100亿美元的赫斯股票，许多 对冲基金坚持在听证会前长期持有多头头寸，押注该并购交易最终将正式完成。 智通财经APP获悉，聚焦于合并套利策略的对冲基金们今年最大的赌注策略将在未来几天迎来关键考 验：一家私人仲裁小组即将开始审理美国油气巨头埃克森美孚(XOM.US)针对雪佛龙(CVX.US)以530亿 美元收购油气生产商赫斯公司(HES.US)所面临的艰难挑战。 当前多方争议的焦点是埃克森以及赫斯之间签订的一项私人性质的合同，该合同管理着圭亚那大型油气 田项目。它包含"优先购买权"条款，这意味着如果一方想要出售其股份，它必须首先将其提供给其他的 项目重要参与势力。圭亚那油气资产乃雪佛龙收购赫斯的核心目的之一。 此次"世纪争端"案件焦点可能落在埃克森十多年前签署的 Stabroek 区块 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Form 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended March 31, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 1-1204 HESS CORPORATION (Exact Name of Registrant as Specified in Its Charter) DELAWARE (State or Other Jurisdiction of Incorporation or Organization) | ...