The agreement comes as US energy companies seek to capture huge profits generated by the energy crisis.
American oil and gas company Chevron has agreed to acquire rival Hess for $53 billion. The total value of the deal, including debt, reached $60 billion, the Financial Times reported on October 23.
The transaction is expected to close in the first half of 2024.
According to Chevron CEO Mike Wirth, its implementation will allow the corporation to “strengthen its long-term performance and expand its portfolio of world-class assets.”
According to the publication, the acquisition of Hess will increase Chevron’s oil and gas production by more than 10%.
Earlier in an interview with the Financial Times, Wirth criticized the forecasts of the International Energy Agency that the demand for fossil fuels will increase by the end of this decade.
“I don’t think they are right. You can build scenarios, but we live in the real world and we must allocate capital to meet real needs,” the head of Chevron emphasized.
In doing so, the company is “doubling down on its bet that fossil fuel demand will remain stable for decades to come.”
Source: korrespondent
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