Hess Says Reviewing Timeline for Closing of Chevron Deal

Thursday, March 7, 2024

U.S. oil producer Hess said on Thursday it was reviewing the timeline for closing its merger with Chevron, after oil major Exxon Mobil signaled a potential counter offer for Hess's Guyana assets.

Exxon on Wednesday filed a contract arbitration claim related to Hess' proposed sale of its Guyana oil properties and suggested it may counter Chevron's pending deal for the assets.

The arbitration case seeks to preserve Exxon's right to evaluate making a bid for Hess' 30% stake in the giant Stabroek offshore oil block if Chevron proceeds with its proposed $53 billion purchase of Hess.

Hess said on Thursday it disagreed with Exxon's interpretation of the agreement and were confident that its position will prevail in arbitration.

Chevron's acquisition of Hess has been stalled by the U.S. Federal Trade Commission's request for additional information on the merger. That request pushed back any closing to at least the middle of this year.


(Reuters - Reporting by Shilpi Majumdar)

Categories: Mergers & Acquisitions Industry News South America

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