Chevron Corporation ( CVX ) shares are trading higher today. QatarEnergy reportedly disclosed an agreement to acquire a 20% interest in an offshore block’s production-sharing contract in Suriname.

Chevron ( CVX ), the operator of offshore block 5 in Suriname, will maintain a 40% stake and Paradise Oil Company will hold the remaining 40% of the interest, reported Reuters.

Block 5, where QatarEnergy recently acquired a stake, is located offshore Suriname in shallow waters ranging from approximately 30 to 45 meters deep.

The license is advancing into its second exploration phase, which includes a commitment to drill an exploration well.

Currently, Suriname’s oil production is exclusively onshore, but significant deepwater discoveries have been made in its waters since 2019, the report further mentioned.

The country anticipates its first major offshore oil production to commence in approximately four years.

The report cited energy consultancy Wood Mackenzie, which said that Suriname’s discovered resources are estimated to exceed 2.4 billion barrels of oil and liquids and more than 12.5 trillion cubic feet of gas.

Investors can gain exposure to the stock via EA Series Trust Strive U.S. Energy ETF and SPDR Select Sector Fund – Energy Select Sector .

Read: Exxon Mobil Arbitration Throws Wrench in Chevron-Hess Merger Timeline: Report

Price Action: CVX shares are up 0.18% at $161.51 premarket at the last check Thursday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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