Hess Corp. (NYSE: HES) reported a bigger loss in the second quarter as the company produced fewer barrels of oil due to a cutback in drilling.

The company said July 26 that losses in the E&P unit—its biggest—climbed to $354 million in the second quarter, from $328 million a year earlier.

Net production, excluding Libya, fell to 294,000 barrels of oil equivalent per day (boe/d) from 313,000 boe/d.

Hess cut its 2017 E&P capex to $2.15 billion from its previous guidance of $2.25 billion.

Like many of its peers, Hess is struggling to adapt to the dip in oil prices this year, which was not expected when 2017 capital budgets were crafted.

Earlier this week, rival Anadarko Petroleum Corp. (NYSE: APC) cut its 2017 capital budget because of depressed oil prices.

Hess's total revenue fell to $1.23 billion from $1.27 billion.

Net loss attributable to the company was $449 million, or $1.46 per share, in the reported quarter, compared with a loss of $392 million, or $1.29 per share, a year earlier.

Hess said its corporate and interest expenses rose to $111 million from $75 million.