The US oil and gas company ConocoPhillips has announced the acquisition of the oil exploration and production group Marathon Oil in an all-stock transaction for US$22.5bn, including US$5.4bn in debt. ConocoPhillips expects cost savings of US$500m within the first year after the closing of the transaction. The acquisition will add over 2 Gbl of reserves to the ConocoPhillips’ portfolio. Marathon Oil has operations in the Bakken basin in North Dakota, the Permian basin in West Texas and South Texas' Eagle Ford basin. In addition, the group has an integrated gas business in Equatorial Guinea.
In addition, shareholders of the US company Hess have approved the proposed US$53bn merger with the oil major Chevron announced in October 2023. This approval clears one obstacle, but the agreement will still require regulatory approval and must face an arbitration battle with ExxonMobil and China’s CNOOC over assets in Guyana. Indeed, both companies have filed a dispute asserting they have a right of first refusal to any sale of Hess's Guyana assets. Exxon operates all production in Guyana with a 45% stake in the Stabroek Block, while CNOOC owns 25% and Hess 30%. Hess Corporation is an independent energy company active in the exploration and production of crude oil and gas, with major positions offshore Guyana, the Bakken shale play in North Dakota (United States), the deepwater Gulf of Mexico (US) and the Gulf of Thailand.