Oil & Gas Pro

Consolidation: Chevron buys Noble Energy

From the Houston Chronicle

The California energy major on Monday said it will purchase the Houston independent oil and gas producer in an all-stock deal valued at $5 billion, or $10.38 per share. The total value of the transaction, expected to close later this year, is $13 billion including debt.

“Our strong balance sheet and financial discipline gives us the flexibility to be a buyer of quality assets during these challenging times,” Chevron CEO Michael Wirth said in a statement. “This is a cost-effective opportunity for Chevron to acquire additional proved reserves and resources. Noble Energy’s multi-asset, high-quality portfolio will enhance geographic diversity, increase capital flexibility, and improve our ability to generate strong cash flow.”

-----

Expect more news of M&A as remaining less-capitalized O&G players evaluate options between takeovers, fire-sales and Chapter 11.

Views: 370

▶ Reply to This

Replies to This Discussion


landownerPermalink Reply by Doctor Joe on July 22, 2020 at 13:07

Noble was a great company to work for in the 1990s.  It had a great president and executive staff and was family friendly while headquartered in Ardmore, OK. Things changed when it move to Houston in 2000 but by then I was working for the JV that operated the company's assets in Equatorial Guinea.


Oil & Gas ProPermalink Reply by Skip Peel - Mineral Consultant on July 22, 2020 at 13:16

Maybe a good acquisition for Chevron but not one of the Zombies that needed to disappear through acquisitions.  I expect the acquisition train is just pulling out of the station.  More to come.


landownerPermalink Reply by Richard David Otley on July 31, 2020 at 6:31

Noble might have been great, but Stover and his syncophants were not

RSS

© 2026   Created by Keith Mauck (Site Publisher).   Powered by

Badges  |  Report an Issue  |  Terms of Service