Chevron is one of the top four Oil Producers in the world. Their recent deal to merge with Anadarko, will elevate them to the second spot on that list.
Chevron Chairman and CEO, Mike Wirth saying “if you liked Chevron’s Permian position before, you’ll like it even more now.”
Chevron announced their plan to buy Anadarko Friday morning in a Multi-Billion dollar deal. Saying Anadarkos acreage will help them expand their resorces in the Permian Basin.
Mike wirth adding, “getting more out of the Permian sooner is an important value driver.”
But more money in the region doesnt nessessarily mean more jobs. In fact, the acquisition could mean the loss of jobs in the Permian Basin, as the company looks to save around 2-billion-dollars in “Synergy.”
Mickey Cargile of Cargile Investments saying, “when a company talks about synergy what they really mean is getting rid of employees.”
According to Cargile there is about 100-Billion dollars of drilling prospects between the two companies. Meaning there will be constant drilling in our area even if oil prices decline.
“From just a pure economic aspect, I think this is something that will benifit our community,” Cargile adds.
As for the share holders, they will also reap the benefits. Cargile saying it is “very good for the Anadarko shareholders as they’re recieving about a 39-percent premium over yesterdays prices. The Chevron shareholders should see good value over the lond term.”