Chevron Corp.
The company has acquired operating interests in three oil and gas exploration blocks in the Asian waters from Devon Energy
BP bought Devon's assets in three worldwide venues earlier this year. BP this week released its report on the April 20 Deepwater Horizon oil rig explosion and ensuing oil leak in the Gulf of Mexico. BP and Transocean
Under the new agreement announced by Chevron and China's CNOOC
Block 42/05 lies in Baiyun Sag at the mouth of the Pearl River basin in the eastern portion of the sea. It covers almost 2,700 square miles, with water depths ranging from 650 feet to 6,500 feet. The other two blocks, 64/18 and 53/30, in which Chevron will acquire 100% interests from Devon, are in the Qiong Dong Nan Basin in the western South China Sea. CNOOC will be able to participate up to 51% in any commercial discoveries made by the Western companies.
As my Foolish colleague Toby Shute noted earlier this year, Devon sold BP all of its deepwater assets in the Gulf of Mexico, Brazil, and Azerbaijan for $7 billion, as part of a decision to concentrate onshore in North America. The Oklahoma City company concurrently paid $500 million for 50% of BP's interest in the Kirby oil sands project in Alberta, Canada.
I'm an energy price bull -- at least given a two-year time frame -- so I'm also a believer that Fools' portfolios should include ample representation in the sector. And while I'm most intrigued by Chevron's increasingly active approach to its business, I'd be sheepish about attempting to talk you out of any of the companies named above.