Hess Midstream said during its earnings call May 4 that it expected to reduce its capital expenditures to $100 million in 2026, about one-third less than its previous guidance, reflecting Chevron’s move to longer laterals in the Bakken and the completion of a second compressor station that is now online.
“Chevron continues to bring lessons from other basins to the Bakken, like longer laterals, workover optimization and increased chemicals to improve productivity. We are also benefiting from that,” CEO Jonathan Stein said. “Longer laterals, for example, make wells more economic by decreasing the breakeven and … reduce our well-connect requirements as fewer wells are needed.”
Chevron has a 37.8% interest in Hess Midstream after its $60 billion acquisition of Hess, which closed in July 2025. About 90% of Hess Midstream's volumes are from Chevron production, with third parties making up the other 10%.
Hess said throughput volumes were 430 MMcf/d for gas processing, 119 Mb/d for crude terminaling and 115 Mb/d for water gathering in Q1 2026, all in line with previous guidance but down from Q4 2025, primarily due to severe winter weather in January and February, partially offset by recovery in March as well as capture of additional third-party gas volume. Hess said it expects volumes to grow the rest of the year, excluding the impact of planned maintenance at the Tioga Gas Plant that is expected to reduce volumes by 5-10 MMcf/d during Q2.
