Monday, October 27, 2025

Latest

Chevron Completes $53B Hess Acquisition After Defeating Exxon in Legal Battle

Chevron Corp. (NYSE: CVX) on Friday closed its $53 billion purchase of Hess Corp., winning a protracted legal fight with Exxon Mobil (NYSE: XOM) that centered on prized offshore oil fields in Guyana.

The International Chamber of Commerce ruled in Chevron’s favor, ending a 20-month legal battle that had threatened to derail one of the energy sector’s largest deals in recent years.

“We have maintained from the beginning that this is the outcome that we expected,” Chevron CEO Mike Wirth said Friday. “It’s a straightforward interpretation of contract language, and we’re very pleased that the transaction has now closed.”

The dispute centered on Exxon’s claim to a right of first refusal over Hess’ 30% stake in Guyana’s offshore Stabroek Block, which contains more than 11 billion barrels of recoverable oil. Exxon operates the project with a 45% stake, while China National Offshore Oil Corp. holds 25%.

Exxon and CNOOC had argued the joint operating agreement gave them preemptive rights to buy Hess’ Guyana assets. Chevron and Hess countered that the provision didn’t apply to a corporate merger.

“We disagree with the ICC panel’s interpretation but respect the arbitration and dispute resolution process,” Exxon said in a statement, adding that they “welcome Chevron to the venture and look forward to continued industry-leading performance and value creation in Guyana for all parties involved.”

The acquisition gives Chevron access to one of the world’s most significant recent oil discoveries and strengthens its position against larger rival Exxon.

Under the deal terms, Hess shareholders receive 1.025 Chevron shares for each Hess share. The transaction had been announced in October 2023 but was delayed by the arbitration proceedings.

The Federal Trade Commission cleared final regulatory hurdles Thursday, lifting restrictions that had prevented former Hess CEO John Hess from potentially joining Chevron’s board.



Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Silver’s Finally Breaking the System | Keith Neumeyer – First Majestic

The Best News for Gold Was the Drop! – Peter Grandich

McEwen Copper: The Los Azules Feasibility Study

Recommended

Goliath Resources Drills 10.72 g/t Gold Over 7.83 Metres At Surebet

Steadright Enters MOU To Acquire Historic Goundafa Polymetallic Mine In Morocco

Related News

Sheffield Renounces Exxon Board Seat Following Pioneer Acquisition Debacle

Scott Sheffield, the founder of Pioneer Natural Resources and one of ExxonMobil’s largest individual shareholders,...

Sunday, July 20, 2025, 07:37:00 AM

Trump Administration Considers Giving Chevron Special Treatment On Venezuelan Oil

The Trump administration is weighing a plan to extend Chevron’s (NYSE: CVX) license to pump...

Thursday, March 20, 2025, 11:37:00 AM

ExxonMobil Doubles Down on Expansion… Or Maybe Not Really

ExxonMobil (NYSE: XOM) is making waves in the energy sector with its bold plans to...

Thursday, December 12, 2024, 02:54:00 PM

Exxon’s Oil Outlook Surpasses BP’s by 25%, Forecasts Steady Demand to 2050

Exxon Mobil Corp (XOM:NYSE) has released its latest global oil outlook, projecting that crude demand...

Tuesday, August 27, 2024, 03:34:00 PM

Trump Revokes Chevron’s Venezuela License, Triggering Oil Price Surge

President Donald Trump ordered the termination of Chevron‘s (NYSE: CVX) license to operate in Venezuela...

Sunday, March 2, 2025, 07:39:00 AM