ChevronTexaco
Sells 150 U.S. Producing Properties to XTO Energy Inc
Posted: 17 May 2004
ChevronTexaco Corp. announced its North America Exploration and
Production Co. has sold a package of 150 onshore producing properties
to XTO Energy Inc. for $1.1 billion. The properties are located
in seven states, with more than 90 percent of current production
in Texas and New Mexico. The company expects to record a significant
gain to income upon close of the sale, which is anticipated in the
third quarter of this year.
The sale is part of plans announced in 2003 to improve the competitive
performance of the company's upstream portfolio through the divestment
of nonstrategic assets and the realignment of strategic business
units. To date, the company has reached agreement to sell approximately
two-thirds of production targeted for sale in ChevronTexaco's ongoing
U.S. divestment program.
ChevronTexaco Vice Chairman Peter Robertson said: "This sale
is significant. It is a key step in our drive to streamline our
portfolio of assets to approximately 400 core fields that represent
the vast majority of our long-term value in the United States and
Canada. Furthermore, the transaction allows us to focus on maximizing
and growing the value of our base business."
Ray Wilcox, vice president of ChevronTexaco and president of ChevronTexaco
Exploration and Production Co., added that ChevronTexaco will continue
to strengthen its North America portfolio, which is built on strong
positions in strategic oil and gas regions. "We're the No.
1 producer in California and the Gulf of Mexico Shelf, the No. 2
producer in the Permian Basin, and the No. 3 natural gas producer
in the United States. The sale allows us to focus our resources
on core properties and future opportunities that can add the most
value to ChevronTexaco stockholders."
Currently celebrating its 125th anniversary, ChevronTexaco is the
second-largest U.S.-based energy company and the fifth largest in
the world based on market capitalization. More than 50,000 ChevronTexaco
employees work in approximately 180 countries around the world,
producing and transporting crude oil and natural gas, and marketing
and distributing fuels and other energy products. ChevronTexaco
is based in San Ramon, Calif.
For more information see http://www.chevrontexaco.com/
Posted by Richard Price,
Editor Pipeline Magazine
Information supplied by companies
or PR agencies who are responsible for content. Send press releases
to info@pipelinedubai.com |
