Jan 17 (Reuters) - The U.S. Federal Trade Commision

(FTC) said on Friday it had approved a consent order to resolve

antitrust issues concerning Chevron's ( CVX ) $53 billion

takeover of Hess.

According to the order, John Hess, CEO of the oil and gas

producer, will be barred from joining the combined company's

board over allegations that he communicated with oil producers'

group OPEC during its efforts to curtail production.

Though the proposed takeover has cleared the FTC's antitrust

review, one last hurdle remains - Exxon Mobil's ( XOM )

challenge to the deal. A three-judge arbitration panel is due to

consider the case later in May.

(Reporting by Vallari Srivastava in Bengaluru; Editing by

Devika Syamnath)