Hess Operations in Libya
US oil firms had their contracts suspended in the 1980s after the US imposed sanctions on Libya. However in 2005 Hess Corporation, along with other firms such as Exxonmobil, resumed their operations in the country after a 19 year absence. Hess, in a partnership with ConocoPhillips and Marathon known as the Oasis Group, paid $1.3 billion to resume activities.
In the wake of the political unrest in early 2011, Hess suspended all output in March of that year. Production restarted in November 2011 and in November 2012 press reported that Hess' quarterly profits had nearly doubled, largely due to the company's resumed operations in Libya, where Waha operations added 23,000 bpd to output, compared to no production in Libya during the same period a year previously.
Activities and Contracts
In addition to its producing assets as part of Waha, Hess carries out exploratory activities at the offshore block Area 54, 38 miles off the coast of Libya in the Sirte basin. This area was acquired in mid-2005 and hydrocarbons were discovered in 2008.
- “ConocoPhillips, Marathon return to Libya”. Houston Business Journal, 29 December 2005.
- “Occidental, Hess, Total Halt Crude Production in Libya”. Bloomberg, 2 June 2011.
- “Operations”. Hess, retrieved 23 January 2013.
- “Hess Profit Doubles due to Libya”. Libya Business News, 3 November 2012.
- “Libya”, ConocoPhillips, retrieved 12 October 2011.
- “Operations”. Hess, retrieved 13 October 2011.