Exxon, CNOOC signal interest in buying Hess39; Guyana operations
Talks center on right of first refusal over Hess stake

HOUSTON, Feb 26 Reuters Exxon Mobil Corp said on Monday it may preempt Chevron Corp39;s acquisition of a 30 stake in a giant Guyana oil block, the centerpiece of its deal for Hess Corp.

The companies are in talks on Exxon39;s claim it has a right to first refusal of any sale of the Stabroek block, a giant field off the coast of Guyana that contains at least 11 billion barrels of oil.

The dispute between the top U.S. oil producers could end Chevron39;s 53 billion deal for Hess, Chevron warned in a securities filing. If the deal falls part, Hess could be liable for a 1.7 billion breakup fee.

Hess shares fell more than 3 in late trading. Chevron fell almost 1.

Exxon said in a statement it wants to ensure it will preserve our right to realize the significant value weve created and are entitled to in the Guyana asset, adding it is working closely with the Guyanese government to ensure their rights and privileges.

You have to assume that Chevron made a business decision that Exxon wouldn39;t try to preempt, said Dan Pickering, chief investment officer at Pickering Energy Partners.

The two companies are partners in projects elsewhere and the dispute signals how valuable the Guyana projects are to Exxon, he said.

It obviously means that 30 of Guyana is really valuable and maybe they think that Chevron is getting in too cheaply, Pickering said,…