U.S. energy major Exxon Mobil’s arbitration over Chevron’s plans to buy Hess’s Guyana oilfield stake will extend into 2025, Exxon CEO Darren Woods said to CNBC in an interview, souring expectations of a resolution this year.
Exxon and CNOOC Ltd filed cases before the International Chamber of Commerce in March, seeking the right-of-first-refusal over any sale of Hess’s 30% stake in the giant Stabroek offshore oil block, home of the largest oil discovery in nearly a decade.
Stabroek is operated by a consortium of Exxon, CNOOC and Hess.
Chevron is trying to get a Federal Trade Commission approval to close its $53 billion takeover of Hess, which includes the Guyana assets, Chevron’s CEO Mike Wirth said to CNBC separately, adding that the company is also working on the Hess shareholder vote, expected in the second-quarter.
Hess and Chevron did not immediately respond to Reuters requests for comment.
Exxon claims the right-of-first-refusal is part of the consortium’s operating agreement, while Hess and Chevron have said they believe the rights do not apply.
Hess had earlier said that the dispute could drag on till year-end.
(Reporting by Sourasis Bose in Bengaluru; Editing by Devika Syamnath)