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Darren Woods, CEO of ExxonMobil, speaks throughout an interview with CNBC on the ground on the New York Inventory Alternate (NYSE) in New York Metropolis, U.S., December 7, 2023.
Brendan Mcdermid | Reuters
Exxon Mobil CEO Darren Woods on Thursday dismissed worries that the Federal Commerce Fee may maintain up the oil large’s pending acquisition of Pioneer Pure Assets.
“I do not assume there’s any angle that you could take a look at this potential mixture and discover any considerations about competitors,” Woods instructed CNBC’s “Squawk on the Avenue” in an unique interview. The deal is anticipated to shut within the first half of 2024.
Woods mentioned that whereas the $60 billion deal seems massive, the transaction is small within the context of the broader U.S. oil market. He mentioned crude manufacturing from the acquisition of Pioneer would quantity to lower than 5% of the U.S. complete.
The Pioneer deal is Exxon’s largest since its $75 billion merger with Mobil in 1999. Pioneer is likely one of the largest producers within the oil-rich Permian Basin.
The FTC sought extra data from Exxon this week on the acquisition. Woods mentioned Exxon will reply as shortly as potential: “We expect it is affordable to have a look,” he mentioned of the FTC probe.
Senate Majority chief Chuck Schumer, D-N.Y., and greater than 20 of his Democratic colleagues known as on the FTC to scrutinize Exxon’s acquisition in addition to Chevron’s deal to purchase Hess for $53 billion.
The senators argued the offers may result in larger gasoline costs for People.
“These offers have all of the hallmarks of dangerous, anticompetitive impact, and in the event that they’re allowed to occur, People may see the results by means of larger costs on the pump,” Schumer mentioned in a Senate speech final month.
Exxon is investing closely in manufacturing within the Permian Basin and the South American nation of Guyana. Neighboring Venezuela on Sunday voted to declare sovereignty over a swathe of territory in Guyana.
Woods mentioned the border situation between Venezuela and Guyana is lengthy standing and he expects the dispute to be resolved within the Worldwide Courtroom of Justice.
When requested about fears Venezuela may invade its a lot smaller neighbor, Woods mentioned he doesn’t consider Guyana would stand alone in such a state of affairs.
“We have all seen what occurs when nations’ sovereignties are challenged and unilateral actions taken,” Woods mentioned. “My expectation is there’s extra broad help within the worldwide group to make it possible for the best processes are adopted to resolve this dispute.”
“We all know what we have to do in nation: develop these assets economically, environmentally responsibly and do what we have been contracted to do,” the CEO mentioned.
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