The Federal Trade Commission is investigating Chevron’s acquisition of Hess oil firm, the second inquiry the impartial company has opened this week of a significant oil business merger.
Chevron and Hess stated in separate filings that the FTC is looking for extra data and documentary supplies associated to Chevron’s proposed $53 billion purchase of Hess, introduced in October.
The statements Friday observe an announcement earlier this week that the FTC is reviewing ExxonMobil’s proposed $60 billion acquisition of Pioneer Natural Resources. Such requests for data are steps the company takes when reviewing whether or not a merger may very well be anticompetitive below U.S. regulation. If accomplished, the Exxon and Chevron offers could be among the many largest mergers within the vitality business in twenty years.
The inquiries come after Senate Majority Chief Chuck Schumer and 22 different Democratic senators urged the FTC to investigate the 2 offers. Schumer stated Friday the Chevron-Hess merger would result in “higher prices at the pump for families even while Big Oil profits keep going up and up.”
The FTC, which shares antitrust authority with the Justice Division, can sue in court docket to dam a merger or decline to take motion, successfully clearing the deal.
A spokesperson for the fee declined to remark Friday.
Chevron, Exxon and different oil firms have introduced big income from robust vitality costs and demand since Russia’s 2022 invasion of Ukraine. Exxon reported $9.1 billion in profits in the quarter that ended Sept. 30, whereas Chevron reported $6.5 billion in income.
