This acquisition boosts Chevron’s existing portfolio, adding Assets such as the Stabroek block in Guyana and Hess Bakken, which expands Chevron’s shale position and Permian basin operations. Hess chief executive officer (CEO), John Hess, is expected to join the Chevron Board of Directors.
Mike Wirth Source: Chevron Corp.
Chevron’s chairman and CEO, Mike Wirth, highlighted the two companies’ similar values and cultures. In the company’s press statement, he said:
This combination positions Chevron to strengthen our long-term performance and further enhance our advanced portfolio by adding world-class assets. Importantly our two companies have similar values and cultures, with a focus on operating safely and with integrity, attracting and developing the best people, making positive contributions to our communities and delivering high returns and lower carbon.
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John Hess echoed this statement. Chevron’s chief financial officer, Pierre Breber, emphasised the company’s investor commitments and added:
With greater confidence in projected long-term cash generation, Chevron intends to return more cash to shareholders with higher dividends per share growth and higher share repurchases.
Strategic benefits include a Guyana 30% ownership generating more than 11 billion barrels of oil and potential exploration, 465,000 Bakken net acres integrating Hess Midstream assets, complementary Gulf of Mexico assets and a steady cash flow from the Southeast Asia natural gas segment.
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