Chevron Eyes Sale Of Canada's Duvernay Shale Gas Assets To Trim Portfolio: Report
Portfolio Pulse from Lekha Gupta
Chevron Corp (NYSE:CVX) is looking to sell its natural gas business in Canada's Duvernay Shale, which produces around 40,000 barrels of oil and gas daily. The sale is part of Chevron's strategy to streamline operations after several acquisitions, including deals with Hess Corp (NYSE:HES), PDC Energy, and Noble Energy. The assets could be worth up to $900 million. Chevron plans to divest $10 billion to $15 billion in assets by 2028. The company will report Q4 FY24 results on February 2, 2024. CVX shares saw a slight premarket decline.
January 22, 2024 | 12:33 pm
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NEUTRAL IMPACT
Chevron is selling its Duvernay Shale gas assets in Canada, which could fetch up to $900 million. This move is part of a broader divestment strategy to streamline operations.
The sale of the Duvernay Shale gas assets is part of Chevron's strategic plan and is not necessarily a reflection of the company's current performance. While the sale could bring in significant capital, it is a routine part of portfolio management. The impact on the stock price is likely to be neutral in the short term as the market has likely already factored in Chevron's divestment strategy.
CONFIDENCE 85
IMPORTANCE 75
RELEVANCE 90
NEUTRAL IMPACT
Hess Corp is mentioned in relation to its deal with Chevron. There is no direct impact on Hess from Chevron's sale of the Duvernay Shale gas assets.
Hess Corp is mentioned as part of Chevron's acquisition history, but the sale of Chevron's Duvernay Shale assets does not directly affect Hess's operations or financials. Therefore, the short-term impact on Hess's stock is expected to be neutral.
CONFIDENCE 80
IMPORTANCE 10
RELEVANCE 20