Hess Plans 18% Spending Cut in Bakken This Year

BISMARCK, N.D. (AP) — Hess Corp. plans to reduce its spending in the Bakken oil patch by 18 percent this year over last.

President and CEO Greg Hill says the company plans to spend $1.8 billion in the Bakken, down from $2.2 billion in 2014. He says Hess also will have fewer drilling rigs and will complete fewer operating wells.

Hess spokesman John Roper says steep drops in oil prices are playing a big role in the decision. But he says new technology is another reason. Hess expects to drill almost as many wells as it did last year while running only half of the drilling rigs.

Hill says Hess feels confident its leases in the Bakken can be profitable this year. And he says as oil prices recover, activity and production will increase.