Noble Energy Inc. shareholders approved the pending merger with Chevron Corp. and all other proposals related to the Merger at Noble Energy’s Special Meeting of Shareholders held on Oct. 1.
This deal makes Chevron the No. 2 U.S. shale oil producer behind EOG Resources and gives it international nearly 1 billion cubic feet of natural gas reserves close to growing markets.
The all-stock deal values Noble Energy at around $4.2 billion, excluding $8 billion in debt, and the vote cements the first big energy deal since the coronavirus crushed global fuel demand.
Noble Energy anticipates providing final vote results for the Special Meeting, as certified by the independent Inspector of Election, on a Form 8-K with the U.S. Securities and Exchange Commission in a later release. Chevron and Noble Energy expect to close the Merger early in the fourth quarter of 2020.
“We are pleased that Noble Energy shareholders resoundingly support the pending transaction with Chevron,” David L. Stover, Noble Energy’s Chairman and CEO, said. “Today’s approval marks an important milestone on the path to becoming part of an even stronger global energy platform. We thank our shareholders and other stakeholders for recognizing the many benefits that will be realized, and the significant value that will be created, through this combination.”
In July, Chevron and Noble Energy entered into a definitive merger agreement providing for Chevron’s acquisition of Noble Energy in an all-stock transaction. Under the terms of the definitive merger agreement, each eligible share of Noble Energy common stock issued and outstanding immediately prior to the effective time of the Merger will be converted into the right to receive 0.1191 of a share of Chevron’s common stock, with cash in lieu of any fractional shares.
Reuters contributed to this article.
U.S. energy firms this week added oil and natural gas rigs for a seventh week in a row for the first time since June 2018, and for a third consecutive month, even as oil majors cut spending due to the COVID-19 pandemic's impact on energy demand and prices.
Two Weld County wells in the Wattenberg Field completed by Occidental Petroleum plus results from a Wilcox discovery by Exxon Mobil in the Gulf of Mexico top this week’s drilling activity highlights from around the world.
Just 18 of 62 planned wells were completed.