Under the terms of the agreement, Hess shareholders will receive 1.0250 shares of Chevron for each Hess share. (Source: Shutterstock)
Chevron announced Oct. 23 it will acquire Hess Corp. in an all-stock deal worth $53 billion, dramatically adding major positions in the Bakken Shale and offshore Guyana.
The acquisition is the second such mega deal for U.S. energy consolidation this month, following the even larger acquisition by Exxon Mobil of Permian producer Pioneer Natural Resources for almost $60 billion.
The two U.S. supermajors, Exxon and Chevron, are making big moves to shore up their oil and gas inventories for years to come. The deal also would make Exxon Mobil and Chevron new partners as the leading explorers and producers offshore of Guyana in South America.
“Building on our track record of successful transactions, the addition of Hess is expected to extend further Chevron’s free cash flow growth,” said Pierre Breber, Chevron’s CFO, in a release. “With greater confidence in projected long-term cash generation, Chevron intends to return more cash to shareholders with higher dividend per share growth and higher share repurchases.”
Recommended Reading
TotalEnergies Pauses Business with Adani, Says it was Not Aware of US Investigation
2024-11-25 - French oil major TotalEnergies SE was not informed of a U.S. investigation into possible bribery and corruption at Adani Green Energy Ltd., it said on Nov. 25, adding it will stop financial contributions to its Adani Group investments following last week's indictment.
EQT, Blackstone Credit Enter $3.5 Billion Midstream Joint Venture
2024-11-25 - Blackstone Credit & Insurance entered a joint venture with EQT Corp. to take a non-controlling interest in the Mountain Valley Pipeline and other infrastructure from the Equitrans Transactions for $3.5 billion.
Attitude Adjustment Incoming from DC, Energy Experts Say
2024-11-25 - The energy Industry can expect more cooperation from the federal government through personnel and policy adjustments.
ONEOK Announces $4.3B Deal to Acquire Remaining EnLink Stock
2024-11-25 - ONEOK’s deal to acquire the remaining stake in EnLink is expected to close in the first quarter of 2025.
From Days to Minutes: AI’s Potential to Transform Energy Sector
2024-11-22 - Despite concerns many might have, AI looks to be the next great tool for the energy industry, experts say.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.