Property, Plant and Equipment

3 Months Ended

Mar. 31, 2025

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment

3.  Property, Plant and Equipment

Capitalized Exploratory Well Costs:  

The following table discloses the net changes in capitalized exploratory well costs pending determination of proved reserves during the three months ended March 31, 2025 (in millions):

Balance at January 1, 2025	$	1,010
Additions to capitalized exploratory well costs pending the determination of proved reserves	28
Balance at March 31, 2025	$	1,038

In the first quarter of 2025, additions to capitalized exploratory well costs pending determination of proved reserves primarily related to wells drilled on the Stabroek Block (Hess 30%), offshore Guyana. At March 31, 2025, 37 exploration and appraisal wells on the Stabroek Block, with a total cost of $967 million, were capitalized pending determination of proved reserves. The preceding table excludes well costs of $21 million that were incurred and expensed during the first quarter of 2025.

At March 31, 2025, exploratory well costs capitalized for greater than one year following completion of drilling of $881 million was comprised of the following:

Guyana: 93% of the capitalized well costs in excess of one year relate to successful exploration and appraisal wells where hydrocarbons were encountered on the Stabroek Block. A field development plan for the seventh development project on the block, Hammerhead, was submitted by the operator to the Government of Guyana for approval in March 2025. The operator plans further appraisal drilling on the block and is conducting pre-development planning for additional phases of development.

Suriname:  5% of the capitalized well costs in excess of one year relate to the Zanderij-1 well on Block 42 (Hess 33%). Exploration and appraisal activities are ongoing.

Malaysia:  2% of the capitalized well costs in excess of one year relate to the North Malay Basin (Hess 50%), offshore Peninsular Malaysia, where hydrocarbons were encountered in two successful exploration wells.  Pre-development studies are ongoing.