FTC Approves Chevron-Hess Merger Conditions

The Federal Trade Commission (FTC) has approved Chevron's $53 billion acquisition of Hess, but with the condition that Hess CEO John Hess will not join Chevron's board due to his communications with OPEC leaders. This decision highlights ongoing scrutiny by the FTC towards U.S. oil executives, especially following recent oil price increases that have prompted significant mergers in the industry. Chevron plans to utilize Hess's expertise in government relations and social investments through advisory roles instead. The merger is still subject to ongoing arbitration concerning rights in a joint venture in Guyana, with a decision expected by mid-2025. This merger marks a continuation of consolidation within the American shale industry, increasingly dominated by major players like Chevron and Exxon Mobil.