Hess Corporation (NYSE:HES) Q1 2023 Earnings Conference Call April 26, 2023 10:00 AM ET Company Participants Jay Wilson - Vice President, Investor Relations John Hess - Chief Executive Officer Greg Hill - Chief Operating Officer John Rielly - Chief Financial Officer Conference Call Participants Ryan Todd - Piper Sandler Doug Leggate - Bank of America Neil Mehta - Goldman Sachs Paul Cheng - Scotiabank Noel Parks - Tuohy Brothers Arun Jayaram - JPMorgan Operator Good day, ladies and gentlemen, and welcome to ...

Supplemental Earnings Information 1 HESS Reported Net Income, Items Affecting Comparability and Adjusted Net Income by Operating Activity Exploration and Production $ - $ - $ 76 Total items affecting comparability of earnings between periods $ - $ 13 $ (25) 2 * The Corporation has used a non-GAAP financial measure in this supplemental earnings information. "Adjusted Net Income" presented throughout this supplemental information is defined as reported net income attributable to Hess Corporation excluding ite ...

Production Capacity and Reserves - Hess Corporation plans to have six Floating Production Storage and Offloading (FPSO) units with an aggregate expected production capacity of over 1.2 million gross barrels of oil per day (bopd) on the Stabroek Block by 2027[31]. - The company has a 30% interest in the Stabroek Block offshore Guyana, where significant resource discoveries have been made, with potential for up to ten FPSOs to develop the current discovered recoverable resource base[31]. - Proved reserves at December 31, 2022, totaled 1,256 million barrels of oil equivalent (boe), a decrease from 1,309 million boe in 2021[33]. - Proved undeveloped reserves accounted for 43% of total proved reserves on a boe basis as of December 31, 2022, up from 41% in 2021[34]. - The Stabroek Block in Guyana is expected to support up to ten Floating Production Storage and Offloading (FPSO) units, with first production from the Payara development anticipated by the end of 2023[41][43]. - The Liza Phase 1 development reached an expanded production capacity of over 140,000 gross barrels of oil per day (bopd) in June 2022[42]. - The Liza Phase 2 development in Guyana reached its expected production capacity of 220,000 gross bopd in July 2022[42]. - The Payara development project in Guyana is expected to have a production capacity of approximately 220,000 gross bopd, with first production anticipated by the end of 2023[43]. Exploration and Development Activities - In 2023, the company plans to operate four rigs in the Bakken, drilling approximately 110 wells and bringing the same number on production[39]. - The company drilled a total of ten successful exploration and appraisal wells in Guyana in 2022, with plans for six drillships to drill approximately ten exploration and appraisal wells in 2023[46][47]. - The company holds a 33% non-operated interest in Block 42 offshore Suriname, where an exploration well encountered oil pay in 2022[50]. - The company holds a 25% non-operated participating interest in two exploration licenses offshore Newfoundland, with plans to drill one exploration well in 2023[51]. - In 2023, Hess Corporation plans to drill approximately eight development wells in the Malaysia/Thailand Joint Development Area[48]. Production and Pricing - Worldwide crude oil production in 2022 was 70,676 thousand barrels, an increase from 59,602 thousand barrels in 2021[36]. - Average selling prices for crude oil per barrel in the United States increased from $56.64 in 2021 to $81.14 in 2022, representing a 43.4% increase[55]. - Average production costs per barrel of oil equivalent in the United States rose from $23.27 in 2021 to $28.16 in 2022, an increase of 21.0%[55]. - The average selling price for natural gas in the United States increased from $3.82 per Mcf in 2021 to $5.66 per Mcf in 2022, a rise of 48.3%[55]. Midstream Operations - Hess Corporation holds approximately 41% consolidated ownership interest in Hess Midstream LP, providing fee-based services in the Bakken shale play[32]. - Hess Midstream's public shareholders owned approximately 18% of the consolidated entity, while Hess and GIP each owned about 41% as of December 31, 2022[70]. - The natural gas gathering and compression system in North Dakota has a capacity of approximately 590 mmcfd, with 85 mmcfd of compression capacity added in 2022[71]. - Hess Midstream has long-term, fee-based commercial agreements with Hess subsidiaries, effective January 1, 2014, with an initial ten-year term[72]. - The Tioga Gas Plant's total processing capacity is approximately 400 mmcfd, with an NGL fractionation capacity of about 60,000 boepd[74]. - In 2022, the total processing capacity of the Tioga Gas Plant became available, following an expansion from 250 mmcfd to 400 mmcfd[74]. - Hess Midstream LP owns a 50% interest in the Little Missouri 4 natural gas processing plant, which has a processing capacity of approximately 200 mmcfd[74]. Environmental and Social Responsibility - The company spent approximately $23 million in 2022 for environmental remediation[85]. - The total percentage of women in the workforce remained at 27% in 2022, while minorities constituted 25% of U.S. based employees[93]. - The DEI Council at Hess drives progress in diversity, equity, and inclusion, with a focus on fostering a sustainable culture of inclusion[91]. - Hess's strategic focus on DEI has led to maintained or improved diversity across most workforce levels in 2022[92]. - The company has implemented a hybrid work schedule to adapt to changing work environments and prioritize employee well-being[89]. Leadership and Governance - The Corporation's Chief Executive Officer, John B. Hess, has over 45 years of experience in the oil and gas industry, having been with the Corporation since 1977 and serving as CEO since 1995[95]. - Gregory P. Hill has been the President and Chief Operating Officer since 2014, with a total of 25 years of experience at Royal Dutch Shell prior to joining the Corporation in 2009[95]. - The Corporation's Chief Financial Officer, John P. Rielly, has been in this role since 2004 and has a background as a Partner at Ernst & Young, LLP for 17 years[95]. - The Corporation's executive officers have extensive experience, with most having been employed in managerial and executive roles for over five years[96]. - The Corporation's governance documents, including the Code of Business Conduct and Ethics, are available on its website, promoting corporate governance standards[97]. Financial Transparency and Risk Management - The Corporation provides free access to its annual report on Form 10-K and quarterly reports on Form 10-Q through its website, ensuring transparency and compliance with SEC regulations[97]. - The Corporation's forward-looking statements include projections about future financial and operational results, which are subject to various risks and uncertainties[10]. - Key risks affecting the Corporation's operations include fluctuations in market prices of crude oil and natural gas, reduced demand for products, and potential regulatory changes[11]. - The Corporation emphasizes the importance of sustainability goals and initiatives in its business strategy, addressing environmental concerns and climate change[11]. - The Corporation's operational strategies are influenced by market conditions, including competition in the oil and gas exploration and production industry[11].

Supplemental Earnings Information Fourth Quarter 2022 HESS OPERATING RESULTS 1 Reported Net Income, Items Affecting Comparability and Adjusted Net Income by Operating Activity Items Affecting Comparability of Earnings - Income (Expense) Exploration and Production $ 76 $ - $ (54) Midstream - - - Corporate and Other - - (14) Total items affecting comparability of earnings between periods $ 76 $ - $ (68) | --- | --- | --- | --- | --- | --- | --- | |-------------------------------------------------------------- ...

Financial Data and Key Metrics Changes - The company reported net income of $624 million in Q4 2022, up from $515 million in Q3 2022, while adjusted net income was $548 million compared to $583 million in the previous quarter [87] - E&P adjusted net income was $591 million in Q4 compared to $626 million in Q3, with higher sales volumes increasing earnings by $246 million but lower realized selling prices decreasing earnings by $288 million [88] - Cash and cash equivalents stood at $2.48 billion, with total liquidity of $5.73 billion and debt obligations totaling $5.6 billion [90] Business Line Data and Key Metrics Changes - E&P sales volumes were overlifted by approximately 1.3 million barrels, increasing after-tax income by about $60 million [88] - Midstream segment net income was $64 million in Q4, down from $68 million in Q3, with EBITDA before non-controlling interest at $244 million compared to $252 million [89] Market Data and Key Metrics Changes - Company-wide net production averaged 376,000 barrels of oil equivalent per day in Q4 2022, exceeding guidance of approximately 370,000 barrels [71] - For 2023, net production is forecasted to average between 355,000 and 365,000 barrels of oil equivalent per day, representing a 10% increase from 2022 [71] Company Strategy and Development Direction - The company aims to grow its resource base, deliver low-cost supply, and generate industry-leading cash flow growth while maintaining leadership in environmental, social, and governance performance [58] - The strategy includes significant investments in Guyana, the Bakken, and the Gulf of Mexico, with a focus on high-return, low-cost opportunities [60] Management's Comments on Operating Environment and Future Outlook - Management highlighted the need for approximately 20% more energy globally by 2050 while achieving net-zero emissions, indicating a structural deficit in energy supply [50][56] - The company plans to continue increasing its regular dividend and share repurchases as free cash flow generation increases [60][68] Other Important Information - The company completed a $650 million stock repurchase program in 2022 and plans to return up to 75% of annual free cash flow to shareholders [59][60] - The company has a robust inventory of high-return drilling locations, particularly in the Bakken, with plans to average 200,000 barrels of oil equivalent per day by 2025 [64][74] Q&A Session Summary Question: What is the impact of the winter storm on Bakken production? - Management noted that severe winter weather significantly impacted the ability to mobilize resources, resulting in a backlog of down wells and a reduction in new wells brought online [22][72] Question: How does the appreciation of share price affect stock buybacks? - Management confirmed that the appreciation of share price has not changed their commitment to the return framework, which includes dividends and share repurchases [26] Question: What are the expected cash costs for E&P in 2023? - E&P cash costs are projected to be in the range of $13.50 to $14.50 per barrel of oil equivalent for the full year 2023 [92] Question: What is the status of the Uaru project? - Management indicated that the Uaru project remains on track for world-class returns despite cost inflation, with final details to be provided once the project is sanctioned [45][46]

2 Accelerating Share Repurchases ▪ Flexibility for further returns subject to commodity price environment Commitment to Strong Balance Sheet Growing dividend and ongoing commitment to increase return of capital to shareholders 6 (1) Free cash flow is defined as net cash provided by operating activities less capital expenditures and adjusted for debt repayments and net Midstream financing activities. (2) Assumes $65/BBL Brent, $62/BBL WTI; excluding Libya. Stated Policies Net Zero Announced Pledges 800 | --- ...

Hess Corporation BANK OF AMERICA GLOBAL ENERGY CONFERENCE November 16-17, 2022 Forward-Looking Statements & Other Information This presentation contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Words such as "anticipate," "estimate," "expect," "forecast," "guidance," "could," "may," "should," "would," "believe," "intend," "project," "plan," "predict," "will," "target" and simi ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Form 10-Q DELAWARE (State or Other Jurisdiction of Incorporation or Organization) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended September 30, 2022 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 Charte ...

Hess Corporation (NYSE:HES) Q3 2022 Earnings Conference Call October 26, 2022 10:00 AM ET Company Participants Jay Wilson – Vice President-Investor Relations John Hess – Chief Executive Officer Greg Hill – Chief Operating Officer John Rielly – Chief Financial Officer Conference Call Participants Arun Jayaram – JPMorgan Securities Doug Leggate – Bank of America Stephen Richardson – Evercore Neil Mehta – Goldman Sachs Roger Read – Wells Fargo Paul Sankey – Sankey Research Bob Brackett – Bernstein Research Noe ...

Form 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended June 30, 2022 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 UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 HESS CORPORATION (Exact Name of Registrant as Specified in Its Charter) DELAWARE (State or Other Jurisdiction of Incorporation or Organization) 13 ...