Chevron surprised when Exxon filed for arbitration over Guyana, CEO says [Globe and Mail, The (Toronto, Canada)]
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Source: Globe and Mail, The
Exxon says it has the right of first refusal for Hess's stake. Chevron had been in talks with Exxon over the matter, Wirth said. “We were surprised when they, a couple of weeks ago, abruptly ended those discussions and publicly announced... they had filed for arbitration,” Wirth said at an energy conference in Houston. Chevron had done extensive due diligence on the operating agreement between Exxon and Hess in Guyana and has extensive experience in those types of agreement around the world, Wirth said. Chevron is looking forward to affirming its understanding of the contract in the arbitration, he added. Meanwhile, Wirth said that Chevron had not executed its expansion project in Kazakhstan “as well as we expected.” The project has taken longer and cost more than planned, he said. The expansion will increase the Chevron-led consortium's output at the Tengiz field to over 1 million barrels per day from around 650,000 bpd now, he added, and would start up this year and rea
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