No More Oil Hedging For Hess After $53B Chevron Acquisition

, Bloomberg reported on Monday. Chevron announced the acquisitions of Hess, a major feature in Guyana offshore production, on Monday, in the second mega merger announcement this month, following Exxon’s offer of a $59.5-billion all-stock deal for Pioneer Natural Resources. “We plan to discontinue the use of put options to hedge,” Chevron Chief Executive Officer Mike Wirth told Bloomberg on Monday. “That’s just a cost that we won’t incur as we put the two companies together.

Hedging crude has declined since the pandemic as American shale drillers have adopted a more disciplined approach to the markets. Now, with the escalation of tensions in the Middle East following the Hamas attack on Israel and Israel’s heavy-handed response, put options have seen their value decline. In 2021, while oil prices were rising, Hess took a big risk by hedging its position on 2022 crude against a future fall in prices.

Brasil Últimas Notícias, Brasil Manchetes

Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.

Oil Stocks Drop Despite Major Chevron-Hess DealU.S. oil stocks and oil-tracking exchange-traded funds opened lower on Monday despite the major Chevron-Hess deal.
Fonte: OilandEnergy - 🏆 34. / 68 Consulte Mais informação »

Chevron To Buy Hess In $53 Billion Deal As Merger Mania AcceleratesIn another major merger, Chevron has agreed to buy Hess Corporation in an all-stock transaction valued at $53 billion.
Fonte: OilandEnergy - 🏆 34. / 68 Consulte Mais informação »

No More Oil Hedging For Hess After $53B Chevron AcquisitionChevron Corp. will end crude oil hedging following the completion of its acquisition of Hess Corp. in a $53-billion mega deal
Fonte: OilandEnergy - 🏆 34. / 68 Consulte Mais informação »