- Chevron Corporation CVX is looking to offload its interest in over 2,000 oil and gas wells in Alaska, marking its second exit from oil production in the state in 30 years.
- Bids are due this month, and the sale could fetch around $450-$550 million.
- The company is offering stakes in three oilfields. It holds around 10% in Alaska's Endicott field, 5% in the Kuparuk field, and 1.2% in Prudhoe Bay. The stakes are non-operating interests providing a share of profits.
- Chevron estimates that the proved and a developed portion of these assets is worth $655 million, and future development could be worth $926 million, Reuters reported.
- In 2020, BP Plc BP sold its producing assets to closely-held Hilcorp for $5.6 billion and exited. Exxon Mobil Corp XOM separately transferred operations of Point Thomson oilfield to Hilcorp last year but retains a majority stake.
- According to the marketing document, the properties offered include interests in pipelines in the Kuparuk and Endicott fields.
- ConocoPhillips COP operates the Kuparuk field, while Hilcorp operates Prudhoe Bay and Endicott.
- Price Action: CVX shares closed at $156.59 on Monday.
- Photo via Wikimedia Commons
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