Hess Corp. says it will devote $5.6 billion to capital spending this year, including exploration off the coast of Africa and continuing heavy investment in North Dakota oil fields that it bought last year (last year was only seven days ago). Hess bought TRZ LLC.Note: Hess' purchase of TRZ LLC followed closely on the heels of another Hess purchase in the same area.
One of my favorite posts last year (2010) was a commentary on how the Bakken has given investors three opportunities to invest in North Dakota oil industry. Is this confirmation?
- Goldman Sachs analyst Daniel Boyd said oil drilling in the U.S. will increase more than 40 percent this year over 2010 while gas activity will decline 12 percent.
- Much of Hess' production spending will be in the U.S., especially oil fields in North Dakota that the company acquired last year. The company plans to expand production facilities and use 15 rigs to drill in the Bakken oil shale fields in North Dakota.
