U.S. oil producer Hess Corp. expects an increase in cash flow of 25% per year for the next five years, with oil remaining about $75 per barrel, CEO John Hess told an investor conference on June 25.

The increase will stem primarily from its low-cost oil production in Guyana and in the Bakken, he told investors at the JP Morgan Energy, Power and Renewables conference.

Up to 75% of that annual free cash flow will be returned to shareholders, he said.

The company, which holds a 30% stake on Guyana' Stabroek Block operated by Exxon Mobil Corp., expects oil production from the next three platforms planned for Guyana to exceed designed capacity.

The first two production vessels can reach a combined peak production of 400,000 bbl/d of oil and gas, against a designed capacity of 340,000 bbl/d, thanks to reservoir performance, he said.

If the expectation for the next three platforms is confirmed, total production would exceed the 1.2 MMbbl/d projected by 2027.

The consortium, in which Exxon has a 45% stake and China’s CNOOC a 25% stake, is negotiating with Guyana's government a one-year extension to 2027 of the oil exploration license for Stabroek Block, Hess said.