Chevron Corp. is reportedly negotiating the sale of its natural gas assets in East Texas to Tokyo Gas, Japan's largest gas supplier, in a transaction valued at approximately $1 billion, the Financial Times reported on Tuesday, citing three people familiar with the talks.
According to the sources, the assets encompass 72,000 acres of mostly undeveloped land within the world's leading gas source. Tokyo Gas aims to secure a steady supply for Japan and enhance its access to the plentiful US reserves of the commodity.
For Chevron, the second-largest Western oil company, the move would be another step in its extensive multibillion-dollar divestment strategy aimed at finalizing a $53 billion acquisition of Hess, marking the largest deal in its corporate history.
