Guyana oil block fight: Chevron clears $53 billion Hess deal after Paris arbitration, gains entry into Exxon-led Guyana field – OXBIG NEWS NETWORK-OxBig News Network

Chevron has completed its $53 billion acquisition of Hess Corp, securing a stake in one of the world’s most lucrative oil fields, after winning a key arbitration ruling in Paris. The International Chamber of Commerce (ICC) cleared the way for Chevron to join Exxon Mobil and China’s CNOOC in Guyana’s massive Stabroek Block, ending a months-long ownership dispute.“We disagree with the ICC panel’s interpretation but respect the arbitration and dispute resolution process,” Exxon Mobil said in a statement on Friday, quoted AP.The arbitration outcome allows Chevron to finalise its October 2023 agreement with Hess, which includes Hess’s 30% stake in the Guyana field and assets in the Bakken shale formation in North Dakota. The Stabroek Block off Guyana’s coast has emerged as one of the biggest oil discoveries in recent times, propelling the South American nation to the forefront of global offshore production.Guyana, with a population of under 800,000, is expected to become the world’s fourth-largest offshore oil producer, ahead of Qatar, the US, Mexico, and Norway.“Given the significant value we’ve created in the development of the Guyana resource, we believed we had a clear duty to our investors to consider our preemption rights to protect the value we created through our innovation and hard work at a time when no one knew just how successful this venture would become,” Exxon said.The company added: “We welcome Chevron to the venture and look forward to continued industry-leading performance and value creation in Guyana for all parties involved.”Chevron’s acquisition follows Exxon’s own $60 billion move to acquire Pioneer Natural Resources, signalling intense competition among oil majors to consolidate access to strategic energy reserves.