Thematic: XOM Guyana Chevron Permian

By Paul Sankey Published on March 2, 2024 at 6:35 PM

From left field, ExxonMobil threw a wrench in the Chevron deal for Hess, a deal which we love from Chevron’s point of view. At the time, we were working on a look at Chevron in the Permian, and this is that note. First, the anaconda in the room: Source: Sankey Research Word on the street this week has been that ExxonMobil wants to buy all of Hess, but is currently prevented from making a move…

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Morning Chevron-Hess Ruh ROFR

By Paul Sankey Published on February 27, 2024 at 9:42 AM

Never a dull day in oil. Last evening the Chevron 10-K caused panic among merger-arb clients who saw the Hess deal premium blow out on news that ExxonMobil was claiming the right of first refusal over the key Stabroek block in Guyana, the very heart of Chevron’s deal for Hess. Source: CNBC Source for both: Bloomberg, Sankey ResearchText from Proxy: “The Stabroek JOA contains a right of first refusal (the Stabroek ROFR) provision that, if…

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Sunday Shaggy and the Pool Tan

By Paul Sankey Published on February 25, 2024 at 7:29 PM

Greetings, There is an embarrassing feeling about current equity markets, for us writing this note, a bit like hosting family lunch on the patio at the country club, while trying to ignore the spectacular naked celebrity gloriously sunbathing by the pool. To be less… conceptual: we got our answer to the question we posed last Sunday on NVDA earnings. ~ It’s hard to avoid staring but we pretend to focus on the slightly dry turkey…

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