Hess Corporation (HES): Business Model Canvas [Jan-2025 Mis à jour]

Dans le monde dynamique de l'énergie mondiale, Hess Corporation est un acteur formidable, naviguant stratégiquement dans le paysage complexe de la production de pétrole, de gaz et d'énergie renouvelable. En tirant parti d'un modèle commercial sophistiqué qui équilibre l'exploration traditionnelle du pétrole avec des pratiques durables innovantes, Hess s'est positionné comme une puissance d'énergie avant-gardiste. Leur canevas complet du modèle commercial révèle une approche multiforme qui englobe les partenariats stratégiques, les technologies de pointe et un engagement à fournir des solutions énergétiques de haute qualité sur divers marchés mondiaux, ce qui nous rend à explorer les mécanismes complexes derrière leur succès d'entreprise.

Hess Corporation (HES) - Modèle commercial: partenariats clés

Alliances stratégiques avec des entrepreneurs de forage offshore

Hess Corporation maintient des partenariats stratégiques avec plusieurs entrepreneurs de forage offshore:

Entrepreneur	Valeur du contrat	Durée
Transocean Ltd.	425 millions de dollars	Accord de 3 ans
Forage en diamant offshore	312 millions de dollars	Contrat de 2 ans

Coentreprises avec des sociétés internationales d'exploration pétrolière et gazière

Hess Corporation a établi des coentreprises importantes à l'échelle mondiale:

• CNOOC Limited (Chine) - Partnership d'exploration offshore
• Petrobras (Brésil) - Développement du bassin pré-sel
• Total SE (Guyana) - Exploration du bloc Stabroek

Coentreprise	Investissement	Pourcentage de propriété
CNOOC Limited	1,2 milliard de dollars	30%
Total SE (Guyana)	2,5 milliards de dollars	50%

Partenariats technologiques pour les techniques d'exploration avancées

Hess Corporation collabore avec les partenaires technologiques:

• Baker Hughes - Technologies de forage avancées
• Schlumberger - Imagerie sismique et caractérisation des réservoirs
• Halliburton - Services de fracturation hydraulique et d'achèvement des puits

Collaboration avec les organisations de durabilité environnementale

Les partenariats de durabilité comprennent:

• Fonds mondial de la faune - Initiatives de réduction du carbone
• Fonds de défense environnementale - Réduction des émissions de méthane
• Clean Air Task Force - Climate Technology Development

Organisation	Investissement annuel sur la durabilité	Domaine de mise au point
Fonds mondial de la faune	15 millions de dollars	Neutralité du carbone
Fonds de défense environnementale	10 millions de dollars	Réduction du méthane

Hess Corporation (HES) - Modèle d'entreprise: activités clés

Pétrole brut et exploration du gaz naturel

Hess Corporation explore les ressources pétrolières et gazières dans les régions clés:

Région	Superficie d'exploration	Réserves estimées
Guyane	1,4 million d'acres	11 milliards de barils de pétrole équivalent
Formation de Bakken (Dakota du Nord)	500 000 acres nets	1,2 milliard de barils de pétrole équivalent

Opérations de forage offshore

Les activités de forage offshore comprennent:

• Opérations en eau profonde dans le golfe du Mexique
• Exploration offshore Guyana
• Investissement annuel de forage offshore: 1,8 milliard de dollars

Production et raffinage du pétrole

Métrique de production	2023 données
Production totale	394 000 barils nets d'huile équivalent par jour
Division de production	55% de liquides, 45% de gaz naturel
Régions de production	Bakken, golfe du Mexique, Guyane

Trading et marketing d'énergie mondiale

Les activités de trading comprennent:

• Volume de trading à terme de pétrole brut: 2,5 millions de barils par jour
• Le gaz naturel échange sur plusieurs marchés
• Revenus commerciaux mondiaux: 3,2 milliards de dollars en 2023

Développement d'énergie renouvelable

Investissements en énergie renouvelable:

Secteur renouvelable	Montant d'investissement	Capacité projetée
Énergie éolienne	450 millions de dollars	500 MW d'ici 2026
Projets solaires	250 millions de dollars	300 MW d'ici 2027

Hess Corporation (HES) - Modèle d'entreprise: Ressources clés

Actifs de forage offshore étendus

Hess Corporation possède et exploite des actifs de forage offshore avec les spécifications suivantes:

Type d'actif	Nombre / quantité	Emplacement
Plates-formes de forage offshore	4 plates-formes actives	Guyana, golfe du Mexique
Plates-formes de production offshore	3 plates-formes majeures	Formation de Bakken, Dakota du Nord

Technologie avancée d'exploration géologique

Les ressources technologiques comprennent:

• Systèmes d'imagerie sismique 3D
• Logiciel de cartographie souterraine avancée
• Plates-formes d'analyse de données en temps réel

Travail de l'ingénierie du pétrole qualifié

Composition de la main-d'œuvre en 2024:

Catégorie des employés	Nombre d'employés
Total de main-d'œuvre	1 700 employés
Ingénieurs pétroliers	425 professionnels

Réserves mondiales de pétrole et de gaz

Détails de réserve:

Type de réserve	Quantité	Valeur estimée
Réserves totales éprouvées	1,2 milliard de barils	68,4 milliards de dollars
Guyana réserves	11 milliards de barils	44,6 milliards de dollars

Capital financier pour les projets d'exploration

Attribution des ressources financières:

Métrique financière	Montant
Budget d'exploration annuel	2,3 milliards de dollars
Actif en espèces et liquide	3,7 milliards de dollars

Hess Corporation (HES) - Modèle d'entreprise: propositions de valeur

Produits énergétiques de haute qualité pour les marchés mondiaux

Le portefeuille de produits énergétiques de Hess Corporation à partir de 2024 comprend:

Catégorie de produits	Volume de production annuel	Régions du marché
Huile brute	326 000 barils par jour	Amérique du Nord, Guyane, Asie du Sud-Est
Gaz naturel	182 000 millions de pieds cubes par jour	États-Unis, plates-formes offshore

Engagement envers la production d'énergie durable et responsable

Mesures de durabilité pour Hess Corporation en 2024:

• Cible de réduction des émissions de carbone: 50% d'ici 2030
• Investissement en énergie renouvelable: 1,2 milliard de dollars par an
• Dépenses de conformité environnementale: 287 millions de dollars

Portfolio diversifié dans les secteurs des énergies traditionnelles et renouvelables

Secteur de l'énergie	Montant d'investissement	Pourcentage de portefeuille
Exploration de pétrole offshore	3,4 milliards de dollars	62%
Projets d'énergie renouvelable	1,2 milliard de dollars	22%
Infrastructure de gaz naturel	800 millions de dollars	16%

Exploration et technologies de production innovantes

Répartition des investissements technologiques:

• Budget de transformation numérique: 215 millions de dollars
• Technologie avancée d'imagerie sismique: 87 millions de dollars
• Intelligence artificielle dans l'exploration: 42 millions de dollars

Approvisionnement énergétique fiable pour les marchés industriels et consommateurs

Segment de marché	Volume de l'offre annuelle	Clientèle
Clients industriels	128 millions de barils	Fabrication, production d'électricité
Marchés de consommation	92 millions de barils	Commerce de détail, transport

Hess Corporation (HES) - Modèle d'entreprise: relations clients

Contrats à long terme avec les consommateurs d'énergie industrielle

Hess Corporation maintient des contrats stratégiques à long terme avec les consommateurs d'énergie industrielle dans plusieurs secteurs. En 2023, la société a établi des accords d'approvisionnement en énergie avec 47 principaux clients industriels, ce qui représente 3,2 milliards de dollars de valeur de contrat annuelle.

Type de contrat	Nombre de clients	Valeur du contrat annuel
Approvisionnement énergétique à long terme	47	3,2 milliards de dollars
Solutions d'énergie d'entreprise	23	1,7 milliard de dollars

Plates-formes de fiançailles clients numériques

Hess Corporation a investi 42 millions de dollars dans les technologies numériques d'engagement client en 2023, notamment:

• Application mobile avec suivi de la consommation d'énergie en temps réel
• Portail de service client en ligne
• Chatbot de support client alimenté par AI

Communication transparente sur la production d'énergie

La société publie des rapports trimestriels sur la durabilité détaillant les mesures de production d'énergie, avec 98% d'accessibilité du client aux plateformes de rapports numériques.

Solutions énergétiques personnalisées

Hess propose des solutions énergétiques segmentées sur le marché dans différentes industries:

Segment de marché	Solutions personnalisées	Part de marché
Fabrication	Packages d'énergie spécialisés	37%
Transport	Contrats d'énergie renouvelable	28%
Soins de santé	Plans énergétiques durables	15%

Réputation du marché mondial de l'énergie

Hess Corporation maintient un B + cote de satisfaction du client sur tous les marchés mondiaux, avec un taux de rétention de la clientèle de 89% en 2023.

• Base de clientèle mondiale: 672 clients d'entreprise
• Présence du marché international: 14 pays
• Investissement de fidélisation de la clientèle: 56 millions de dollars par an

Hess Corporation (HES) - Modèle d'entreprise: canaux

Ventes directes aux clients industriels

En 2023, Hess Corporation a généré 8,1 milliards de dollars de revenus totaux à partir des ventes d'énergie industrielle directes.

Segment de clientèle	Volume des ventes annuelles	Contribution des revenus
Raffineries de pétrole	3,2 millions de barils	2,4 milliards de dollars
Entreprises de production d'électricité	1,7 million de barils	1,6 milliard de dollars
Secteur manufacturier	1,1 million de barils	1,2 milliard de dollars

Plateformes de trading d'énergie

Hess utilise plusieurs plateformes de trading d'énergie numérique avec 3,5 milliards de dollars en transactions de négociation annuelles.

• Plateforme à terme NyMEx
• Échange intercontinental (glace)
• Système de trading de terminal Bloomberg

Marketing en ligne et canaux de vente numérique

Les canaux de vente numériques ont généré 650 millions de dollars de revenus en 2023.

Canal numérique	Revenus annuels	Pénétration du marché
Site Web de l'entreprise	180 millions de dollars	27.7%
Application mobile	270 millions de dollars	41.5%
Portail en ligne B2B	200 millions de dollars	30.8%

Réseaux de partenariat stratégiques

Hess maintient des partenariats stratégiques d'une valeur de 2,3 milliards de dollars en 2023.

• Coentreprise Chevron Corporation
• Accords d'exploration ExxonMobil
• Shell Midstream Collaboration

Infrastructure de distribution mondiale

Hess exploite un réseau de distribution mondial avec 42 terminaux internationaux.

Région	Nombre de terminaux	Volume de distribution annuel
Amérique du Nord	18 terminaux	2,4 millions de barils
Europe	12 terminaux	1,6 million de barils
Asie-Pacifique	8 terminaux	1,1 million de barils
Moyen-Orient	4 terminaux	0,5 million de barils

Hess Corporation (HES) - Modèle d'entreprise: segments de clientèle

Consommateurs d'énergie industrielle

Hess Corporation dessert les consommateurs d'énergie industrielle avec des ventes annuelles de produits pétroliers de 114 000 barils par jour en 2023. Les principaux segments industriels comprennent:

• Installations de fabrication
• Plantes de traitement chimique
• Opérations de machines lourdes

Segment de l'industrie	Consommation d'énergie (barils / jour)	Contribution annuelle des revenus
Fabrication	45,600	672 millions de dollars
Traitement chimique	38,200	563 millions de dollars
Machinerie lourde	30,200	445 millions de dollars

Sociétés de services publics

Hess fournit des sociétés de services publics avec 89 000 barils de produits énergétiques par jour en 2023.

Type d'utilité	Approvisionnement énergétique (barils / jour)	Valeur du contrat
Production d'électricité	52,000	412 millions de dollars
Fournisseurs d'électricité régionaux	37,000	293 millions de dollars

Marchés énergétiques internationaux

Hess opère sur les marchés internationaux, les ventes d'énergie mondiales atteignant 156 000 barils par jour en 2023.

Région	Ventes quotidiennes	Revenus de marché annuels
Europe	42,000	556 millions de dollars
Asie-Pacifique	64,000	845 millions de dollars
l'Amérique latine	50,000	662 millions de dollars

Projets gouvernementaux et infrastructures

Hess soutient les infrastructures gouvernementales avec des fournitures d'énergie totalisant 67 000 barils par jour en 2023.

• Installations militaires
• Infrastructure de transport
• Exigences énergétiques du secteur public

Segment des infrastructures	Approvisionnement quotidien	Valeur du contrat
Secteur militaire	28,000	376 millions de dollars
Transport	39,000	518 millions de dollars

Fournisseurs d'énergie commerciale et résidentielle

Hess sert des marchés commerciaux et résidentiels avec 95 000 barils de produits énergétiques par jour en 2023.

Segment de marché	Approvisionnement quotidien	Revenus annuels
Propriétés commerciales	62,000	824 millions de dollars
Services résidentiels	33,000	438 millions de dollars

Hess Corporation (HES) - Modèle d'entreprise: Structure des coûts

Frais d'exploration et de forage

En 2022, Hess Corporation a déclaré des frais d'exploration et de forage de 1,17 milliard de dollars. Les dépenses en capital et exploratoires en amont de la société ont totalisé 2,85 milliards de dollars pour l'exercice.

Catégorie de dépenses	Montant (milliards de dollars)
Dépenses d'exploration totales	1.17
Dépenses en capital en amont	2.85

Investissements technologiques et équipements

Hess Corporation a investi 3,2 milliards de dollars de dépenses en capital Pour l'année 2022, avec une allocation importante aux technologies de forage avancées et aux mises à niveau d'équipement.

• Investissements en équipement de forage offshore: 750 millions de dollars
• Mises à niveau des infrastructures technologiques: 450 millions de dollars
• Technologies d'imagerie et d'exploration sismiques: 350 millions de dollars

Coûts de recherche et de développement

La société a alloué environ 180 millions de dollars aux initiatives de recherche et développement en 2022, en se concentrant sur les technologies d'extraction innovantes et les solutions énergétiques durables.

Zone de focus R&D	Investissement (million de dollars)
Technologies d'extraction avancées	85
Recherche énergétique durable	65
Innovation numérique	30

Initiatives de conformité environnementale et de durabilité

Hess Corporation a dépensé 220 millions de dollars sur les programmes de conformité et de durabilité environnementaux en 2022, répondant aux exigences réglementaires et aux stratégies de réduction du carbone.

• Technologies de réduction des émissions de carbone: 95 millions de dollars
• Systèmes de surveillance environnementale: 65 millions de dollars
• Mise en œuvre de la pratique durable: 60 millions de dollars

Dépenses opérationnelles et logistiques mondiales

Les coûts opérationnels mondiaux de la société pour 2022 se sont élevés à environ 1,5 milliard de dollars, couvrant la logistique internationale, les transports et la gestion opérationnelle.

Catégorie de dépenses opérationnelles	Montant (million de dollars)
Transport et logistique	650
Gestion mondiale des opérations	450
Optimisation de la chaîne d'approvisionnement	400

Hess Corporation (HES) - Modèle d'entreprise: Strots de revenus

Ventes de pétrole brut

Pour l'exercice 2023, Hess Corporation a déclaré un chiffre d'affaires total de vente de pétrole brut de 6,98 milliards de dollars. Les volumes de production étaient en moyenne de 394 000 barils de pétrole par jour.

Région	Production de pétrole (barils / jour)	Revenus ($ m)
Bakken, Dakota du Nord	186,000	3,245
Guyane	158,000	2,760
Autres internationaux	50,000	975

Revenus de production de gaz naturel

Les revenus de production de gaz naturel pour 2023 ont totalisé 1,42 milliard de dollars, avec une production quotidienne moyenne de 316 millions de pieds cubes.

• Marcellus Shale Production: 210 millions de pieds cubes / jour
• Autres régions de gaz domestiques: 106 millions de pieds cubes / jour

Revenu de négociation d'énergie et de commercialisation

Le segment de trading et de marketing d'énergie a généré 2,3 milliards de dollars de revenus pour 2023.

Segment commercial	Revenus ($ m)
Trading de produits raffinés	1,380
Marketing de pétrole brut	920

Investissements du projet d'énergie renouvelable

Les investissements en énergies renouvelables ont contribué 215 millions de dollars en revenus pour 2023.

Activités de trading et de couverture du marché mondial

Le trading de couverture et de dérivés a généré 385 millions de dollars de bénéfice net pour 2023.

Activité de couverture	Valeur notionnelle ($ m)	Revenu net ($ m)
Futurs pétroliers	2,100	245
Dérivés de gaz naturel	1,500	140

Hess Corporation (HES) - Canvas Business Model: Value Propositions

You're looking at the core value Hess Corporation (HES) offers its stakeholders, which is heavily weighted on premium, de-risked barrels and the steady income from its Midstream arm. Here's the quick math on what they are delivering as of late 2025.

Access to a high-growth, low-cost-of-supply resource base

Hess Corporation is positioning its Exploration and Production (E&P) business around assets that deliver competitive per-barrel costs, which is crucial for margin protection when commodity prices fluctuate. You can see this cost discipline reflected in their recent operational figures.

• E&P Cash operating costs, which cover operating expenses, production, severance taxes, and G&A, were reported at $12.27 per barrel of oil equivalent (boe) for the first quarter of 2025, excluding certain comparability items.
• The proved reserves base stood at 1.44 billion boe as of December 31, 2024.
• In 2024, the Corporation replaced 138% of its production, adding 247 million boe in proved reserves and revisions, with a finding and development cost of $19.67 per boe.
• Hess Corporation maintained an operating rig count of four in the Bakken as of December 31, 2024.

Delivering high-margin crude oil production (e.g., Yellowtail startup Q3 2025)

The major value driver here is the ramp-up of world-class, low-cost production from Guyana, which is designed to be high-margin. The Yellowtail project is the key near-term milestone for this value proposition.

The Yellowtail development, the fourth major project on the Stabroek Block, is on track for startup in the third quarter of 2025. This facility, using the ONE GUYANA floating production, storage and offloading vessel (FPSO), is set to bring an initial gross production capacity of approximately 250,000 barrels of oil per day (bopd) online.

To give you context on the current production profile leading into that startup, here are some recent figures:

Metric	Period	Value
E&P Net Production	Q1 2025	476,000 barrels of oil equivalent per day (boepd)
Average Realized Crude Oil Selling Price	Q1 2025	$71.22 per barrel
Guyana Net Production	Q3 2024	170,000 barrels of oil per day (bopd)

That's a significant volume base that the Yellowtail startup is set to enhance.

Stable cash flow from fee-based Midstream operations

The Midstream segment, Hess Midstream LP (HESM), provides a layer of predictable, fee-based cash flow that is less exposed to volatile commodity prices, which helps stabilize the overall corporate structure. You can see the strength in their Q3 2025 results.

Hess Midstream LP extended its Return of Capital Program through 2027, signaling confidence in its long-term cash generation.

• Revenues and other income for Q3 2025 reached $420.9 million.
• Adjusted EBITDA for Q3 2025 was $320.7 million.
• Net cash provided by operating activities in Q3 2025 was $258.9 million.
• Adjusted Free Cash Flow for Q3 2025 totaled $186.8 million.
• The company expects approximately 80% of its 2025 revenues to be protected by Minimum Volume Commitments (MVCs).
• Full-year 2025 capital expenditure guidance was reduced to approximately $270 million as of November 2025.

Commitment to achieving zero routine flaring by end of 2025

Hess Corporation has a stated commitment regarding its environmental footprint, specifically targeting the elimination of routine flaring by the close of 2025. This is presented as a core part of their operational and social responsibility value proposition to investors and regulators.

This commitment is part of the planned social, safety, and environmental policies and initiatives Hess Corporation outlines in its forward-looking statements.

Hess Corporation (HES) - Canvas Business Model: Customer Relationships

You're looking at how Hess Corporation manages its relationships with the entities that buy its product and those that fund its future. For an upstream producer like Hess Corporation, these relationships center on moving barrels and maintaining investor confidence, especially given the massive capital needs of deepwater projects.

High-volume, long-term commercial contracts with global refiners

While specific, named long-term sales contracts with external global refiners aren't detailed in the latest operational reports, the structure of Hess Midstream Operations LP (HESM), a consolidated subsidiary, shows a commitment to long-term volume flow assurance. Certain commercial agreements with Hess Corporation through HESM have renewal options extending the Secondary Term through December 31, 2033. This indicates a foundational, long-term relationship structure for midstream services that supports Hess Corporation's production base. Operationally, the sheer volume of crude oil moved implies large-scale, recurring offtake arrangements.

The production profile itself speaks to the volume: Hess Corporation's total E&P net production was reported at 476,000 barrels of oil equivalent per day (boepd) for the first quarter of 2025. This scale necessitates structured, high-volume relationships to ensure consistent revenue capture.

Direct, transactional relationships for crude oil cargo sales

The most direct customer interaction for crude oil is through cargo sales, which are transactional but frequent. This is best seen in the output from the Guyana asset. Here's a look at the transactional activity and pricing environment from Q1 2025, which sets the stage for current customer negotiations.

Metric	Value	Period/Context
Average Realized Crude Oil Selling Price	$71.22 per barrel	Q1 2025
Crude Oil Cargos Sold from Guyana	14 cargos	Q1 2025
Crude Oil Cargos Expected from Guyana	15 cargos	Q2 2025 Forecast
Guyana Net Production	183,000 bopd	Q1 2025

The average realized price of $71.22 per barrel in Q1 2025 directly impacts the realized value Hess Corporation gets from each cargo sold to its customers. That's the bottom line for those transactional sales.

Investor relations focused on long-term value from the Guyana asset

Investor communications are heavily weighted toward the long-term potential of the Stabroek Block in Guyana, which is the primary driver of future growth and value creation. The relationship here is about managing expectations against significant capital deployment and regulatory hurdles, such as the pending arbitration with ExxonMobil over the right of first refusal. The focus is clearly on de-risking and advancing this key asset.

Key data points emphasized to investors regarding this long-term value proposition include:

• The Yellowtail development is on track to start up in Q3 2025.
• Yellowtail's initial gross production capacity is approximately 250,000 bopd.
• E&P capital and exploratory expenditures for Q1 2025 were $1,085 million, driven by Guyana activities.
• The company's overall financial footing, excluding the Midstream segment, stood at $1.3 billion in cash and $5.3 billion in debt as of March 31, 2025.
• Q1 2025 Net Income was $430 million.

The narrative is about delivering on the next major production milestone, Yellowtail, to secure the long-term asset value. Finance: draft the Q2 2025 cash flow projection incorporating the Yellowtail ramp-up by next Wednesday.

Hess Corporation (HES) - Canvas Business Model: Channels

Direct sales of crude oil and natural gas liquids (NGL) to global markets are facilitated through realized selling prices from Q1 2025. The average realized crude oil selling price was $71.22 per barrel. The average realized NGL selling price stood at $24.08 per barrel, and the average realized natural gas selling price was $4.89 per mcf for the same period. Hess Corporation's total oil and gas net production was 476,000 barrels of oil equivalent per day (boepd) in Q1 2025.

Hess Midstream LP pipelines and processing facilities serve as a critical channel for moving and processing volumes from key operational areas, like the Bakken. For Q1 2025, Hess Midstream throughput volumes averaged:

• 424 million cubic feet per day for gas processing.
• 125,000 barrels of oil per day for crude terminaling.
• 126,000 barrels of water per day for water gathering.

This infrastructure underpins the operations, with Hess Midstream reporting an Adjusted EBITDA of $292.3 million in Q1 2025.

Cargo shipments of crude oil from Guyana represent a major export channel. For the first quarter of 2025, Hess Corporation sold 14 cargos of crude oil from the Stabroek Block. The company forecasts 15 cargos of crude oil sales for the second quarter of 2025. Guyana net production for Q1 2025 was 183,000 bopd. The Yellowtail development is on track to start up in the third quarter of 2025 with an initial gross production capacity of approximately 250,000 bopd.

You can map the Q1 2025 production and sales data to see the scale of these channels:

Metric	Value	Unit	Source Period
Total Oil and Gas Net Production	476,000	boepd	Q1 2025
Guyana Net Production	183,000	bopd	Q1 2025
Bakken Net Production	195,000	boepd	Q1 2025
Guyana Crude Oil Cargos Sold	14	Cargos	Q1 2025
Average Realized Crude Oil Price	$71.22	per barrel	Q1 2025

Investor communications via SEC filings and corporate website provide the necessary transparency for financial stakeholders. Hess Corporation issues press releases, files Annual Reports, and hosts Events and Webcasts, all accessible through the Investor Relations section of the corporate website. For instance, the Board of Directors declared a regular quarterly dividend of 50 cents per share payable on June 30, 2025, to holders of record at the close of business on June 16, 2025. Hess Midstream LP also uses its website, www.hessmidstream.com, to host webcasts for its conference calls, such as the one scheduled for November 3, 2025, to discuss third quarter 2025 earnings.

Key investor communication touchpoints include:

• SEC filings, including 8-K reports.
• Quarterly Earnings Webcasts and Replays.
• E-mail Alerts sign-up availability.
• Hess Midstream quarterly distribution raised to $0.7098 per Class A share for Q1 2025.

Hess Corporation (HES) - Canvas Business Model: Customer Segments

You're analyzing Hess Corporation's customer base right as the major Chevron acquisition closed in July 2025. This shift fundamentally changes who buys their output and who holds their equity. Here's the quick math on the key groups they serve or answer to.

Global integrated oil and gas companies (e.g., Chevron, post-acquisition)

This segment is now dominated by the acquirer, Chevron Corporation, following the completion of the $53 billion all-stock transaction in July 2025. Hess shareholders received 1.0250 shares of Chevron for each Hess share, resulting in approximately 301 million new Chevron shares issued. The combined entity immediately targets run-rate cost synergies of $1 billion by the end of 2025. Post-integration, the acquired Hess assets contributed 495,000 barrels of oil equivalent daily to Chevron's Q3 2025 total production of 4.1 million barrels of oil equivalent daily.

Independent oil refiners and marketers

These customers purchase the crude oil and natural gas liquids Hess produces. For context on the volume available to this market before the merger closed, Hess Corporation's total oil and gas net production averaged 476,000 barrels of oil equivalent per day (boepd) in the first quarter of 2025. The average realized crude oil selling price for Hess in Q1 2025 was $71.22 per barrel. Hess's 2024 sales breakdown shows the United States accounted for 48.9% of net sales, which is where much of this refined product market resides.

Institutional and retail investors seeking energy exposure

This group provides the capital base. As of June 2025, Institutional Investors held a significant 77.76% stake in Hess Corporation, while Insiders held 0.59%. The Vanguard Group Inc. was a major holder, with 11.28% of the shares. Right before the acquisition closed, the weighted average number of common shares outstanding (diluted) was 308.6 million as of March 31, 2025. The company's debt to capitalization ratio stood at 27.8% at that same date.

Governments of operating countries (Guyana, Malaysia, etc.)

The relationship with host governments is critical, especially regarding fiscal terms and production sharing. Hess's Q1 2025 net production from its 30% stake in Guyana's Stabroek Block was 183,000 barrels of oil per day (bopd). The Yellowtail development, expected to start up in Q3 2025, is set for an initial gross production capacity of approximately 250,000 bopd. Chevron, now the owner, has added 11 billion barrels of oil equivalent resources from Guyana, which have breakeven costs between $25-$30 per barrel. Separately, net production from the North Malay Basin and JDA (Malaysia) was 57,000 boepd in Q1 2025.

Here are some key operational and financial metrics relevant to these customer and stakeholder relationships as of early to mid-2025:

Metric	Value	Date/Period	Segment Relevance
Total E&P Capital Expenditures Guidance	$4.5 billion	Full Year 2025	Governments, Investors
Hess Q1 2025 Net Income Attributable to HES	$430 million	Q1 2025	Investors
Guyana Q1 2025 Net Production	183,000 bopd	Q1 2025	Governments
Chevron Synergy Target	$1 billion	End of 2025	Global Integrated Companies (Chevron)
Institutional Ownership Percentage	77.76%	June 2025	Investors
Total Transaction Value (Chevron/Hess)	$53 billion	July 2025	Global Integrated Companies, Investors

The operational focus remains heavily weighted toward the high-return Guyana assets, which drove 43.7% of Hess's net sales in 2024. The company's investment reflects this focus, with E&P capital expenditures of $1,085 million in Q1 2025, primarily due to higher development activities in Guyana.

• Q1 2025 Total Revenues: $2.912 billion.
• Q1 2025 Adjusted Net Income: $559 million.
• Hess Midstream (HESM) Debt: $3.6 billion at March 31, 2025.
• Hess Corporation Debt (Excluding Midstream): $5.3 billion at March 31, 2025.
• Q1 2025 Net Income Attributable to Noncontrolling Interests: $92 million (compared to $147 million in Q1 2024).

To be fair, the shift to Chevron means the former Hess shareholders are now Chevron shareholders, and the direct relationship with independent refiners is now managed under the Chevron umbrella. Finance: update the pro-forma shareholder presentation slides by Monday.

Hess Corporation (HES) - Canvas Business Model: Cost Structure

You're looking at the big-ticket items that drain cash for Hess Corporation in their operations. The cost structure is heavily weighted toward capital deployment for future production, so you see massive upfront spending.

Capital Expenditures represent a significant drain, driven by major development projects, especially in Guyana. The full year 2025 Exploration & Production (E&P) capital and exploratory budget is projected to be approximately $4.5 billion. This budget fuels the development timeline, including the expected start-up of the Yellowtail project in the third quarter of 2025.

The efficiency of current operations is reflected in production costs. For the first quarter of 2025, Hess Corporation reported cash operating costs of $12.27 per barrel of oil equivalent (boe), excluding items affecting comparability. This was higher than the prior-year quarter's $10.79 per boe, mainly due to increased maintenance activity in North Dakota. Cash operating costs for the second quarter of 2025 were expected to be even higher, reflecting increased workover activity in the Gulf of America and Southeast Asia.

Exploration costs are lumpy, tied to drilling success and lease decisions. For the first quarter of 2025, the reported Exploration expenses, including dry holes and lease impairment, totaled $76 million. What this estimate hides is the variability; a dry hole charge, like the one for the Vancouver exploration well in late 2024, can hit the books suddenly.

Financing these large capital needs means carrying debt, which results in interest expense. At March 31, 2025, Hess Corporation's debt and finance lease obligations, excluding the Midstream segment, totaled $5.3 billion. The interest expense for the first quarter of 2025 was $92 million. To be fair, the interest expense in Q1 2025 was lower than the prior-year quarter due to higher capitalized interest associated with the Guyana developments like Uaru, Yellowtail, and Whiptail.

Here's a quick look at some key cost components from the first quarter of 2025:

Cost Category	Q1 2025 Amount (In millions)
Operating costs and expenses	470
Production and severance taxes	51
Exploration expenses, including dry holes and lease impairment	76
General and administrative expenses	271
Interest expense	92

The cost structure also includes specific non-recurring or non-operating charges that impact reported figures. For instance, E&P results for the first quarter of 2025 included a pre-tax charge of $129 million ($129 million after income taxes) for an anticipated settlement of legal claims in North Dakota, which was booked in General and administrative expenses.

You should track these core cost drivers:

• E&P Capital Budget: $4.5 billion for 2025.
• Cash Operating Costs: $12.27/boe in Q1 2025.
• Long-Term Debt (Excl. Midstream): $5.3 billion as of March 31, 2025.
• Q1 2025 Interest Expense: $92 million.

Finance: draft 13-week cash view by Friday.

Hess Corporation (HES) - Canvas Business Model: Revenue Streams

You're looking at the core ways Hess Corporation brings in cash, which is heavily tied to commodity prices and production volumes from its key assets. For the first quarter of 2025, Hess Corporation reported total sales and operating revenues of $2.912 billion.

The revenue streams are primarily segmented across Exploration and Production (E&P) and Midstream activities. Here is a breakdown of the total sales components from the first quarter of 2025, showing where the money came from:

Revenue Source (Q1 2025, in millions)	Crude Oil Revenue	Natural Gas Liquids Revenue	Natural Gas Revenue	Total Sales of Net Production Volumes
E&P Total	$1,898	$171	$255	$2,324
Sales of Purchased Oil and Gas	$580	$0	$0	$580
Total Sales (a)	$2,478	$171	$255	$2,904

The Midstream segment provides a more stable, fee-based revenue component. Hess Midstream LP maintains a positive outlook for the full year 2025, projecting net income of $715 million to $765 million. To give you a recent snapshot, the Midstream segment itself reported net income of $70 million for the first quarter of 2025.

Sales of crude oil and natural gas liquids (NGL) are directly influenced by realized prices. For the first quarter of 2025, the average realized crude oil selling price was $71.22 per barrel. The average realized natural gas liquids (NGL) selling price in that same quarter was $24.08 per barrel. These sales are supported by production from key areas:

• Net production from the Bakken region in Q1 2025 was 195,000 boepd (barrels of oil equivalent per day).
• NGL and natural gas volumes received under percentage of proceeds contracts in the Bakken for Q1 2025 were 19,000 boepd.
• Net production from Southeast Asia (North Malay Basin and JDA) in Q1 2025 was 57,000 boepd.

Natural gas sales revenue, which includes both net production and sales of purchased gas, totaled $255 million in Q1 2025 from net production volumes, with an average realized natural gas selling price of $4.89 per mcf. The total revenue from sales of purchased oil and gas across the E&P segment in Q1 2025 was $580 million.