US Oil Producer Hess Accelerates Plan for Fourth North Dakota Shale Rig

Bakken producer Hess Corp. expects to add a fourth rig to its North Dakota operations in July, moving forward from the company's original goal of adding the additional rig in 2023.

Liz Hampton, Reuters

Oil and gas producer Hess Corp. expects to add a fourth rig in the Bakken shale of North Dakota next month, CEO John Hess said on June 23, a sign that operators are inching towards greater output increases amid sky-high oil prices.

The company had previously said it was strongly considering adding the rig before the end of the year, moving up a original goal of adding a fourth Bakken rig next year. It had not specified when it planned to add the fourth rig this year.

The move comes as publicly-traded shale producers have held off spending on new oil production in response to shareholder demands to focus new cash from operations on improving returns. The industry has been criticized in the past for overspending on new production.

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