New York, Jan 21, 2026, 20:43 EST — Markets have closed for the day.
Chevron Corporation shares closed Wednesday up roughly 0.8% at $166.73, after fluctuating between $165.51 and $168.45 during the session. According to sources speaking to Reuters, the oil giant is in the final stages of negotiations to offload its Singapore refining and fuel distribution operations to Japan’s Eneos and commodity trader Glencore. The deal, expected to exceed $1 billion, is aimed for completion in the first quarter. The assets on the table include Chevron’s 50% share in the 290,000-barrel-per-day Singapore Refining Co plant, along with Caltex-branded retail outlets across Singapore, Malaysia, and Cambodia. 1
Investors see the potential sale as a fresh challenge for Chevron’s push to streamline its downstream operations and unlock capital. Downstream covers refining and fuels—a reliable cash generator in strong markets, yet vulnerable to fluctuating margins and political risks.
The timing is tricky for the sector: crude prices are shifting with supply news, while big oil faces scrutiny over costs and cash returns. A $1 billion-plus payment won’t shake things up dramatically, but it’s straightforward—and it reshapes Chevron’s portfolio.
Turkish Petroleum is reportedly in discussions with Chevron to collaborate on oil and gas exploration, Bloomberg News said, citing a Turkish official, according to Reuters. The state-run firm would partner with Chevron on seismic surveys and drilling operations, the report added. 2
Barclays raised its price target on Chevron to $166 from $158, maintaining an Equal Weight rating. Analyst Betty Jiang noted the upstream sector’s cash-return model “remains resilient” but advised clients to “tread carefully” amid short-term commodity uncertainty. 3
JPMorgan has resumed coverage of Chevron, assigning an Overweight rating and setting a $176 price target. The firm highlighted supply-side risks in oil and expressed a more positive outlook on the downstream segment, according to a note summary. 4
Chevron’s jump took place amid a robust day for energy stocks and the wider market. Exxon Mobil climbed 2.4%, Occidental Petroleum pushed up 3.0%, and the S&P 500 rose 1.16%, per MarketWatch data. 5
Crude nudged prices higher: Brent closed up 0.5% at $65.24 a barrel, with U.S. WTI gaining 0.4% to $60.62, Reuters reported. Traders zeroed in on disrupted flows from Kazakhstan and a force majeure notice linked to the CPC pipeline system, which could excuse deliveries. Meanwhile, U.S. inventory data scheduled for this week got postponed a day due to a federal holiday. UBS analyst Giovanni Staunovo noted that tariff-driven geopolitical tensions were stoking “risk-off sentiment.” 6
Looking ahead, the supply outlook remains a major drag. The International Energy Agency warned of a hefty surplus in Q1, projecting global supply to outpace demand by 4.25 million barrels per day. This comes despite the IEA slightly raising its 2026 demand growth forecast. The agency pointed to “bloated balances” as the key reason prices are staying subdued. 7
However, nothing’s sealed until a Singapore deal is signed. Buyers can still leverage shifting refining margins or credit terms to negotiate price and conditions in their favor.
Chevron is still at the mercy of the commodity strip. If the surplus tightens and prices drop, adjustments to the portfolio won’t prevent earnings forecasts from slipping.
Traders gearing up for the next session will watch U.S. inventory data closely, while also monitoring progress—or lack thereof—at the Singapore talks. Analyst target revisions are picking up pace, yet crude prices continue to dominate sentiment.
Chevron plans to host its Q4 earnings call on Friday, Jan. 30 at 11:00 a.m. EST. Investors will focus on updates regarding cash returns and potential new information about asset sales, including those involving Singapore. 8
