Chevron to acquire Noble Energy for $5 billion

• Noble also has operations in the Mediterranean Sea and West Africa.
• The total deal value, including debt, is $13 billion, according to Chevron. The Wall Street Journal notes that it's the "largest oil-patch tie-up since the coronavirus pandemic delivered a shock to the industry."
• Some analysts see the coronavirus pandemic leading to substantial new consolidation in the U.S. sector.

Flashback: Chevron was already looking for acquisitions before the pandemic took aim at the oil industry.

• Last year, Chevron looked to buy Anadarko Petroleum, another large independent player, but declined to enter into a bidding war with Occidental Petroleum, which ultimately bought the company.

What they're saying: Chevron said the deal for Noble would enhance its position in several areas, including the prolific Permian Basin.

• Overall, the deal will add 18% to Chevron's proven oil-and-gas reserves and provide an estimated $300 million in annual cost-savings, the announcement states.
• Chevron said the deal improves its international gas holdings, noting it "brings low-capital, cash-generating offshore assets in Israel, strengthening Chevron’s position in the Eastern Mediterranean."