Sources say that arbitrators have made a decision in the Exxon-Hess dispute regarding Chevron's deal.

According to two sources with knowledge of the dispute, arbitrators have made a decision regarding a major oilfield in Guyana.

Chevron's acquisition of Hess for $53 billion will be determined by the ruling.

The Paris International Chamber of Commerce overseeing the arbitration is reviewing the decision now before it is made available to the parties.

The arbitrators' decision or the date of the release of the decision is not clear.

In a press release, an Exxon spokesperson stated that "we remain confident in our positions and appreciate the arbitral panel giving this matter the due consideration it merits."

Hess Chevron, and the ICC have not responded to our requests for comment.

Chevron has agreed to buy smaller U.S. oil producers Hess and Exxon in October 2023. The prize is the 30% stake that Hess holds in the Stabroek Block in Guyana, which Exxon operates with a 45% share.

Exxon, CNOOC and the other minority partners in the joint venture have filed arbitration claims, claiming that they are entitled to a right of first refusal in purchasing Hess' stakes in the Stabroek Block. CNOOC didn't immediately respond to a request for comment.

Chevron & Hess claim that the clause doesn't apply to the entire company. According to the contract, if they lose arbitration or cannot agree on a resolution acceptable to Exxon and CNOOC the acquisition will fail.

Chevron's stakes are very high. The CEO Mike Wirth of Chevron has a strategy that includes acquiring Hess to improve performance. The Stabroek Block would be a valuable addition for Chevron to its declining oil and natural gas reserves. Sheila Dang, Houston (Reporting; Sandra Maler, Sonali Paul and Sandra Maler)

(source: Reuters)