Hess entered into a merger agreement with Chevron, with Hess becoming a wholly-owned subsidiary of Chevron upon completion of the merger. This strategic move will significantly alter Hess's future operations and structure.

The Payara development began producing oil in November 2023 from the Prosperity FPSO, reaching its initial production capacity in January 2024, demonstrating ongoing growth in the Stabroek Block.

Hess continues exploration activities in offshore Guyana, the U.S. Gulf of Mexico, and offshore Suriname, indicating a commitment to finding new resources.

Hess drilled 118 wells and brought 113 wells on production in the Bakken in 2023, increasing total operated production wells to 1,757, reflecting strong operational execution.

Further production optimization work is planned for the Liza Phase 2 development in Guyana in 2024, demonstrating management's focus on maximizing output from existing assets.

Hess relinquished its 20% participating interest in the Kaieteur Block, indicating a strategic decision to focus on more promising assets.

The merger with Chevron is subject to various conditions, including regulatory and shareholder approvals, and may not be completed if these conditions are not met.

The company's business and operating results are highly dependent on market prices of crude oil, NGL and natural gas, which are subject to significant volatility and influenced by factors beyond the company's control.

The company's operations are subject to various risks, including disruptions from catastrophic events, cyber-attacks, and the ability of contractual counterparties to satisfy their obligations.

The petroleum industry is highly competitive and many competitors are larger and have greater resources and more diverse portfolios than Hess.

Hess faces competition for drilling services, technical expertise, equipment, and skilled personnel, which may lead to increased costs and operational challenges.

Hess could face increasing competition due to the development and adoption of new technologies and from producers of alternative fuels.

Cash operating costs increased in 2023, primarily due to the production ramp-up in Guyana and increased maintenance activity in North Dakota.

Midstream tariffs expense increased in 2023 due to higher throughput volumes and tariff rates, indicating increased activity and utilization of midstream assets.

DD&A expense was higher in 2023, primarily due to higher production from Guyana, Malaysia and JDA, reflecting increased asset utilization.

Hess has a dedicated Senior Vice President of Technology and Services, indicating a focus on technological advancements and operational improvements.

Hess has implemented a cybersecurity risk management program based on the NIST CSF, highlighting the company's awareness of and response to digital threats.

The company acknowledges that threat actors are using AI to circumvent security controls, indicating a need for continuous innovation in cybersecurity.

Hess did not repurchase any shares of common stock in 2023 due to restrictions imposed by the merger agreement with Chevron.

Cash dividends on common stock totaled $1.75 per share in 2023, up from $1.50 per share in 2022, reflecting a commitment to returning value to shareholders.

E&P capital and exploratory expenditures are projected to be approximately $4.2 billion in 2024, consistent with 2023, indicating continued investment in growth projects.

Hess has five-year GHG reduction targets for 2025, aiming to reduce operated Scope 1 and 2 GHG emissions intensity by approximately 50% and methane emissions intensity by approximately 50%, both from 2017 levels.

Hess has an agreement with the Government of Guyana to purchase 37.5 million REDD+ carbon credits, demonstrating a commitment to offsetting emissions.

Hess prioritizes the safety of its workforce and has implemented programs and practices designed to ensure everyone gets home safe every day.

The company's business is highly dependent on the market prices of crude oil, NGL and natural gas, which are subject to significant volatility.

The company is subject to changing laws and regulations, as well as political instability and civil unrest in areas where it operates, which could adversely affect its business.

Climate change and sustainability are growing global concerns that may result in significant operational changes and expenditures, reduced demand for products and adversely affect the business.