Accessibility Links

Chevron to purchase Noble Energy for $5 billion



In what will be the biggest Oil & Gas deal since the collapse in crude prices early in the year, Chevron have agreed to purchase Noble Energy Inc for $5 billion in stock.

Chevron will buy Noble Gas for $5 billion
(Image via Chevron)

Chevron will take on Noble’s investments in US shale and the Leviathan gas field in Israel - the largest natural gas field in the eastern Mediterranean. In total, Noble has proved reserves of 2.05 billion barrels of oil and gas, to add to Chevron’s reported 11.4 billion. The deal wiill add around 18% to Chevron’s proved reserves.

“Our strong balance sheet and financial discipline gives us the flexibility to be a buyer of quality assets during these challenging times,” commented Chevron chairman and chief executive Michael Wirth. 

“This is a cost-effective opportunity for Chevron to acquire additional proved reserves and resources.”

“You want to have good resource depth. This is nearly 7 billion barrels of resource that is added to our inventory at attractive economics and, we think, good long-term value creation.”

Noble Energy shareholders will receive 0.1191 shares of Chevron for each share they currently hold in Noble. The total enterprise value, including debt, is valued at $13 billion.

"The acquisition of Noble Energy provides Chevron with low-cost, proven reserves and attractive undeveloped resources that will enhance an already advantaged upstream portfolio. Noble Energy brings low-capital, cash-generating offshore assets in Israel, strengthening Chevron’s position in the Eastern Mediterranean. Noble Energy also enhances Chevron’s leading U.S. unconventional position with de-risked acreage in the DJ Basin and 92,000 largely contiguous and adjacent acres in the Permian Basin," said a spokesperson for Chevron.

“The combination with Chevron is a compelling opportunity to join an admired global, diversified energy leader with a top-tier balance sheet and strong shareholder returns,” said David Stover, Noble Energy’s Chairman and CEO.

"Over the last few years, we have made significant progress executing our strategic objectives, including driving capital efficiency gains onshore, advancing our offshore conventional gas developments and significantly reducing our cost structure. As we looked to build on this positive momentum, the Noble Energy Board of Directors and management team conducted a thorough process and concluded that this transaction is the best way to maximize value for all Noble Energy shareholders. We look forward to bringing together our highly complementary cultures and teams to realize the long-term value and benefits that this combination will deliver."

Find your next job with a major oil & gas organisation

Fircroft has been recruiting engineering & technical professionals for the oil & gas industry for 50 years. Upload your CV to be considered for upcoming opportunities around the world.
Recent Comments
I am interested in get job
benito colina, 21 July 2020
I humbly apply for the post warehouse / materials man in your organization am also a certified rigger.
Vincent Miller, 28 July 2020
Add new comment
By commenting on this blog you're agreeing to our terms of use

Comments left should relate to the subject of the above blog. Unfortunately job applications cannot be accepted here.

For job enquiries and applications please use our job search and for technical or account queries please contact us.
Chevron to purchase Noble Energy for $5 billion - Time to read 3 min
Share this article


Back to Top

By clicking "Save" you consent to
receiving matching jobs based on the
job/page you are viewing by email from
Fircroft, as detailed in our privacy policy
Fircroft would like to keep you up to date with our current vacancies and latest company updates via email. Occasionally Fircrofts marketing may contain 3rd party or affiliate information, however we will not share your personal data with any 3rd parties without your consent. From time to time, we might contact you to get your views on the service you have received. To help you get the best out of Fircroft, we may personalise them based on your location and how you use
Fircroft would like to keep you up to date with the latest company updates and vacancies via SMS / Text messages
Your consent options above means that Fircroft cannot contact you about any new or alternative career vacancies. If you want Fircroft to only contact you about the role(s) you have applied for please continue, however if you would like to be considered for other positions please allow us to contact you by changing one or more of the above consent.