Senate Majority Leader Chuck Schumer, along with Democrats Richard Blumenthal, Cory Booker, Tammy Duckworth, John Fetterman, and Amy Klobuchar have called on FTC Chair Lina Khan to investigate Exxon Mobil Corp (NYSE:XOM).'s $60 billion acquisition of Pioneer Natural Resources (NYSE:PXD) Co., and Chevron Corp. (NYSE:CVX)'s $53 billion acquisition of Hess Corp (NYSE:HES). They expressed concerns that these deals could result in Exxon's dominance in shale oil production and Chevron's significant presence in Guyana, potentially violating antitrust laws.
Schumer specifically highlighted concerns over rising gas prices and urged the FTC to assess the impact of these vertically integrated operations on American competition across markets. These acquisitions could significantly alter the US oil and gas industry landscape, especially with Exxon becoming a main player in the Permian Basin, recognized as the western hemisphere's most prolific oil field.
Despite the White House urging increased scrutiny on oil and gas sector deals in 2021, the FTC has only slowed down smaller merger approvals without filing lawsuits to prevent any acquisitions.
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