Hess compares the first phase development of Liza offshore Guyana to the Delaware Basin and deems one a better investment.
The proposed sale will clear about $320 million P&A obligations and also give the Houston-based E&P much needed capital.
The acquisition is the Houston-based pipeline operator's largest purchase to date and marks a significant milestone for the company, says Shell Midstream CEO Kevin Nichols.
Partnerships, mergers and acquisitions play prominent roles.
A subsidiary of the New York-based E&P reached an agreement with an ExxonMobil affiliate to acquire a 15% participating interest in offshore Guyana's Kaieteur Block.
Chevron views deep water as a material part of its overall upstream portfolio with plans this year to invest billions of dollars in Gulf of Mexico projects.
Stone Energy said April 27 it had agreed to purchase the Ram Powell Unit in the U.S. Gulf of Mexico from Shell Offshore, ExxonMobil and Anadarko.
Development on the blocks offshore Angola had been complicated by a dispute between Sonangol and Cobalt, which until recently was the operator of the blocks and owned a 40% stake in them.
The largest winning bid was a $339 million joint offer by Statoil and Total for Cobalt’s 60% operated interest in the North Platte discovery.
The new process seeks to reflect on permits issued by the agency and helps inform best practices for offshore energy permitting.