Michelle Chapman, AP Business Writer
HOUSTON (AP) – Chevron has documented a key ruling in Paris. This gave him access to Hess’ $53 billion acquisition and one of the biggest oil discoveries of the decade.
Chevron said Friday it completed the acquisition of Hess shortly after a ruling from the International Chamber of Commerce in Paris. Exxon was challenging Chevron’s bid for Hess, one of three companies with access to the large Stabroek block oil field off the coast of Guyana.
“We do not agree with the interpretation of the ICC Panel, but we respect the arbitration and dispute resolution process,” ExxonMobil said in a statement Friday.
Guyana is a country of 791,000 people and is poised to become the world’s fourth largest offshore oil producer, ahead of Qatar, the US, Mexico and Norway. In recent years, it has become a major producer.
Oil Giants’ Exxon Mobil, China’s CNOOC, Hess squared in fierce competition for highly favorable oil fields in northern South America.
Chevron gained green light on Friday, and is now one of Stabroek’s main players.
“We are proud to have built one of the best growth portfolios in the industry, including Guyana, the world’s largest oil discovery in the last decade, and one of the best growth portfolios in the industry, including Bakkenshale, a leading oil and gas producer,” former Hess CEO John Hess said in a statement. “The strategic combination of Chevron and Hess creates the best energy company that is located for the future.”
Chevron also said Thursday that the Federal Trade Commission lifted previous restrictions and settled the way John Hess joined the board on condition of board approval.
Chevron announced the HESS contract in October 2023, less than two weeks after ExxonMobil said it would acquire settlers’ natural resources for around $60 billion.
Chevron said at the time that the acquisition of Hess would add a larger oil field to Guyana and a shale facility in the Bakken Formation in North Dakota.
“Given the key values we created in developing Guyana resources, we believed that when we weren’t sure how successful this venture was, we had a clear obligation to consider the preemptive power to protect the values we created through innovation and hard work,” ExxonMobil said Friday. “We welcome Chevron to our venture and look forward to continuing our industry-leading performance and value creation in Guyana for all involved.”
Chevron shares rose more than 3% before the market opened, while Hess’ shares skyrocketed more than 7%. Exxon’s stock climbed slightly.
Original issue: July 18, 2025 8:53am EDT
