Neutral
Chevron to divest Hess Midstream stake, potentially impacting Bakken cost structure.
Chevron has agreed to divest its ownership interests in Hess Midstream and DJ Basin crude oil midstream assets to Hess Midstream LP. This move aims to restructure Bakken midstream contracts, potentially reducing Chevron's Bakken unit midstream costs by approximately 50%. The transaction is expected to close by year-end 2026.
Key points
- Chevron to divest Hess Midstream stake, potentially impacting Bakken cost structure.
- Transaction expected to close by year-end 2026.
- Chevron anticipates a one-time after-tax loss of approximately $3–$4 billion at closing.
Sources
AI-generated from public news sources. Not financial advice.
