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Risks
1. Regulatory Changes: Hess Corporation’s operations are subject to governmental regulations, which can change at any time, thus creating a risk to the company’s operations.
2. Price Volatility: The oil and gas industry is highly volatile and impacted by factors such as commodity prices, changing customer demands and the availability of supplies and resources.
3. Economic Fluctuations: As an energy producer, Hess Corporation’s operations are also impacted by economic changes in global markets.
4. Health and Safety: Hess Corporation’s operations involve the use of potentially hazardous materials, and any safety incident could lead to substantial liabilities.
5. Competition: Hess Corporation faces competition from other energy providers. It must compete on the basis of price and quality, or risk losing market share.
6. Political Risk: Political relationships and policies in various countries in which Hess Corporation operates can have a substantial impact on the company’s operations.
7. Environmental Factors: Environmental factors, such as climate change, can impact Hess Corporation’s operations, and the company must comply with various laws and regulations to protect the environment.