Chevron Corporation has positioned itself as one of the leading integrated energy firms in the world. The firm is almost involved in every section of the energy industry and has made some substantial development in the field over the course of the period.
Recently, Chevron’s wholly-owned subsidiary, Chevron Australia Downstream, revealed that it has inked a conditional Share Sale deal with Puma Energy Asia Pacific B.V. to purchase all equity interests and shares of Puma Energy (Australia) Holdings Pty Ltd for a valuation of AUD 425 million.
Reportedly, Puma Energy’s Australian division and its subsidiaries own assets which include a network of a commercial and industrial fuels business, retailer-owned and company-owned service stations in Australia, and owned or leased fuel distribution depots and seaboard import terminals.
According to Mark Nelson, Executive Vice President for Downstream & Chemicals, Chevron, the takeover would offer the company a steady market for production volumes from its refining JV’s in Asia. Additionally, it would also build a base for sustainable earnings growth.
Nelson said that this acquisition would strengthen Chevron’s history of partnership across Australia and would enhance its global experience in convenience marketing & supply and fuels.
Sources cite that the acquisition is speculated to end by mid-2020. However, the completion is still dependent on the satisfaction of customary closing conditions and regulatory approvals.
Earlier this year, Chevron made history by sanctioning the Anchor project based in the U.S. Gulf of Mexico. This project is said to be the industry’s first-ever deep-water high-pressure development program to bag a final investment verdict. Experts say that the new technology would be able to control pressures up to 20,000 psi. It also delivers access to different high-pressure resources over the Gulf of Mexico.
Jay Johnson, Executive Vice President of Upstream, Chevron Corporation, said that this sanction supports the company’s obligation to the deep-water asset group. Chevron expects to continue to generate value for shareholders by facilitating standalone development projects as well as subsea tie-backs all at an affordable cost.