Behind the Money Chevron prepares to take on ExxonMobil
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Sep 3, 2025 Join Jamie Smyth, the US energy editor at the Financial Times, as he dives into the heated rivalry between Chevron and ExxonMobil. Smyth explores Chevron's recent acquisition of a valuable oilfield and its ambitious strategy to challenge its larger competitor. The discussion highlights the historical context of their fierce competition, including Chevron's attempted takeover of Hess. Additionally, Smyth touches on the broader implications of their rivalry for the oil industry and the shift towards sustainability in these turbulent times.
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Stabrook's Strategic Value
- Stabrook in Guyana is one of the most lucrative oil discoveries, potentially worth up to $1 trillion in reserves.
- The field became the centrepiece of a legal and strategic battle between Chevron and ExxonMobil.
Hess Deal Triggered The Feud
- Chevron announced a takeover of Hess seeking its 30% stake in the Stabrook project in October 2023.
- Exxon had discovered Stabrook and held a 45% stake, prompting it to oppose Chevron's move aggressively.
Arbitration As Competitive Weapon
- Exxon pursued arbitration to block Chevron's Hess acquisition to secure more of the Guyana discovery and hurt Chevron competitively.
- The legal fight created a prolonged overhang that pressured Chevron's stock and investor confidence.