Amerada Hess Corporation announced today that it had reached agreement to purchase substantially all of the exploration and production assets of LLOG Exploration Company for $750 million after closing adjustments. The properties are located on the Gulf of Mexico shelf and onshore South Louisiana. Production currently is averaging approximately 200,000 Mcf of natural gas equivalent per day and is expected to rise to 250,000 Mcf of natural gas equivalent per day early in 2003. Estimated proven reserves are 360 Bcf of natural gas equivalent. This transaction is expected to close early in the second quarter of 2001.

Bob Strode, Senior Vice President of Amerada Hess, said that "we are purchasing high-quality natural gas and crude oil reserves in the prolific offshore and onshore Gulf Coast of the United States. These properties provide impressive production growth and there is significant upside in reserves. The transaction meets our financial criteria and offers attractive financial returns."

Contact: Amerada Hess Corporation.......C.T. Tursi (212) 536-8593