Hess Corp. (HES) was accused by Continental Resources of using affiliated entities to inflate service fees and divert up to $69 million in revenue, Reuters reported Monday, citing a federal lawsuit.
Continental said Hess structured deals to benefit Hess Midstream, where it holds a 38% stake, at the expense of other working interest owners, according to the report.
The lawsuit claimed Continental's share of oil and gas revenue from 483 North Dakota wells was significantly reduced due to excessive midstream charges, Reuters reported.
The wells are operated by Hess Bakken Investments, with Continental as a non-operating partner, the news outlet added.
A Hess spokesperson was not immediately available for comment, while Continental Resources did not immediately respond to MT Newswires' request for comment.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.