(Energy Analytics Institute, 1.Nov.2024) — California-based Chevron Corporation plans to continue to divest non-core assets as part of its ongoing portfolio optimization efforts.
This, as the Federal Trade Commission (FTC) completed its review of Chevron’s merger with New York City-based Hess Corporation, and as the company recently announced several other asset sales, Chevron’s chairman and CEO Mike Wirth said 1 Nov. 2024 during the company’s third-quarter 2024 webcast with analysts.
“We’ve announced asset sales in Canada, Alaska and Congo that will contribute before tax proceeds of approximately $8bn,” Wirth said. “Pending regulatory approvals, we expect to close these transactions in the fourth-quarter.”
In Canada, Chevron received what Wirth called a “compelling offer” for its Kaybob Duvernay shale position and non-operated interest in the Athabasca Oil Sands project.
“Both are good assets and we have a long history there, but they are a better fit for a reputable counterparty at an attractive deal value for Chevron,” Wirth said. “The Duvernay, while it’s a good asset, was struggling to compete against the strength in other parts of our shale and tight portfolio,” Wirth said.
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By Piero Stewart. © Energy Analytics Institute (EAI). All Rights Reserved.
