Chevron Holds 30% Stake in Uruguay’s OFF-7 Block as Oil Prices Rally
QatarEnergy acquired 18% of Uruguay’s OFF-4 block and 30% of OFF-2 and OFF-7 blocks, where Chevron holds a 30% stake in OFF-7 alongside Shell and APA. Analysts like Bernstein’s Bob Brackett and Ted Oakley say Chevron shares are mispriced and set to gain from rising oil prices.
1. Uruguay Offshore Expansion
QatarEnergy took 18% in OFF-4, 30% in OFF-2 and OFF-7 blocks off Uruguay’s Atlantic coast, where Chevron holds a 30% stake in OFF-7 alongside Shell and APA, covering areas up to 18,227 sq km in water depths from 40 to 4,000 meters.
2. Chevron’s South America Position
Chevron’s 30% interest in OFF-7 deepwater acreage marks its continued frontier exploration push in South America, complementing its existing upstream portfolio and leveraging partnerships to diversify its production base.
3. Analyst Bullish Outlook
Analysts led by Bernstein’s Bob Brackett and Ted Oakley highlight Chevron’s undervaluation amid rising oil prices and growing demand for energy infrastructure, forecasting share gains as the sector attracts renewed investor focus.