American oil and gas company Chevron has reached an agreement to acquire rival Hess Corporation for USD 53 billion. The total amount of the deal, including debt, reaches USD 60 billion, Chevron said in a statement.
The deal is expected to close in the first half of 2024. The acquisition will allow the corporation to “strengthen its long-term performance and expand its portfolio of world-class assets,” said Chevron CEO Mike Wirth.
Earlier in an interview with the Financial Times, Wirth criticized the International Energy Agency’s predictions that demand for fossil fuels would peak by the end of this decade. “I don’t think they’re right at all. You can create scenarios, but we live in the real world and we have to allocate capital to meet real needs,” he said.
In doing so, Chevron “doubled down on its bet that fossil fuel demand will remain sustainable for decades to come,” the article said.
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2023-10-23 16:33:00
#Chevron #absorbed #competitor
