Chevron’s ‘Loose End’ on Hess Wasn’t Flagged, Tectonic CEO Says

Chevron Corp. should have anticipated Exxon Mobil Corp.’s ability to derail a takeover of a massive oilfield stake in Guyana, a snag that threatens to unravel a roughly $50 billion acquisition, said veteran energy investor Haag Sherman.

The chief executive of Tectonic Financial Inc. was surprised Chevron didn’t earlier warn investors of the risk that its planned purchase of Hess Corp. could fall apart if Exxon exercises its right of first refusal to Hess’ 30% interest in the Exxon-led Stabroek discovery off the coast of Guyana, Sherman said during an interview in Houston on Tuesday. Chevron announced the ...