Hess Midstream LP agreed on 6 October 2026 to acquire Chevron's DJ Basin crude and gas gathering and storage assets and to take back all of Chevron's ownership interests in the company. Hess Midstream will pay US$200m in cash.
Why Hess Midstream LP is buying Chevron's DJ Basin midstream assets and its stake in Hess Midstream
The deal turns Hess Midstream into an independent company with operations in more than one basin. It adds about 670,000 dedicated acres in Colorado, anchored by Chevron contracts through 2045. Chevron expects its Bakken midstream unit costs to fall by about 50%.
Deal terms and financing
Chevron will contribute 77,827,485 Class B units of Hess Midstream Operations LP and 449,000 Class A shares, which will be cancelled, together with its general partner interest. This reduces Hess Midstream's share count by nearly 40%. The Bakken agreements will move to fixed fees with inflation escalators and lower tariffs for 2027–33, backed by a minimum revenue commitment.
Regulatory approvals and timing
The deal was approved by the full Hess Midstream board and a conflicts committee of independent directors. It is subject to customary conditions and regulatory approvals, and closing is expected by the end of 2026.
Market context
Chevron gained control of Hess Midstream through its acquisition of Hess Corporation. Chevron-affiliated directors will step down at closing, and Hess Midstream will stay in Houston under a new name.
