Drilling for success
Leon Hess began Hess Oil and Chemical from the back of a heated truck by selling "resid"-refining leftovers-to hotels during the Great Depression. In the 1960s, Hess bought Amerada Petroleum, an oil exploration company. Since then, Amerada Hess has been conducting exploration activities in Alaska and around the world.
Stung by the dramatic fluctuations of the oil crisis years, the company faced and successfully fought off a series of hostile takeover attempts. Following the construction of a massive pipeline built to transport natural gas from the North Sea to the United Kingdom in the early 1990s, Amerada Hess looked to recover from nearly a decade of meager revenues. However, Leon Hess failed to react to the challenges of low oil prices and expensive refinery upgrades, and the then 82 year-old CEO stepped down in 1995, putting his son John B. Hess in control.
After problems in the early 1990s related to falling oil prices and expensive refinery upgrades, Amerada Hess sold off several of its assets to bolster its financial health. The company is hoping to generate additional revenue by converting its 630 gas stations into 24 hour gas/convenience store/ fast food joints, tapping such brand names as Blimpie subs and TCBY yogurt to attract customers. Hess could sure use the extra money: slumping oil prices are simply hammering company earnings. Hess lost $458 million in 1998 forcing the company to cut its exploration and production budget by 40% and eliminate 400 jobs.
Hess rebounded in 1999, once again turning a profit and looking to expand its global market. The company recently won concessionary rights to a new site in Brazil at the National Petroleum Agency's auction in June 2000. Armerada Hess plans to grow in Asia through an alliance with Premier Oil PLC and its 25 percent share in that company. On the African continent, three more oil fields in Algeria, acquired in April 2000, contribute another 30,000 barrels of oil per day, though that number should increase to 45,000 by 2003. Receiving the fields from Sonatrach, Algeria's national oil company, Hess plans on creating a joint operating company called SonaHess to operate and rehabilitate the fields. And not to overlook the homefront, Hess is acting on its plans to become one of the few total energy providers of fuel, gas, and electricity on the East Coast. To do so, it has acquired Statoil Energy Services for its electricity marketing, which Hess had little experience with before the purchase.
With the worst of its downsizing efforts behind it, Amerada Hess looks to fill positions through advertisements in newspapers and trade journals. The company, however, does not require that resumes be submitted for a specific opening. Amerada Hess will respond to successful candidates within two weeks by asking them to fill out application forms; applicants are then interviewed by the Human Resources office and the appropriate department manager. Positions are most frequently available in NY, NJ, and TX.
Hess also accepts resumes electronically. Go to www.hess.com/about/careers.html to submit a resume via email, for those interested in corporate positions. For retail positions in any Hess location, call the 24-hour jobline at 1-800-947-HESS or email Retailmarketing@hess.com for more information.
Amerada Hess employees say that they are "accustomed" to the "fluctuations" of the oil industry. While employees enjoy the "empowerment" that comes from "individual autonomy," they also describe communication between company divisions as "poor." The work week lengthens during "busy seasons" up to 50 hours but "rarely" extends beyond that. Moreover, employees say that they are rewarded with "light schedules" during other times of the year. While the low entry-level pay and the fact that Hess has not given out base pay raises in two years is a source of "frustration," long-time employees say that the company's raises are "substantial."
Refining & Marketing;Exploration & Production;Transportation of refined products
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