Divestiture

Divestiture is a political term.   It is the forced break up of major oil companies.

Divestiture can take two forms: horizontal and vertical.

  • Horizontal divestiture would force oil companies to divest of their owned non-oil business, like chemical, coal, and nuclear energy plants.
  • Vertical divestiture would mandate the oil companies to divide their operations by functions. (exploration, production, refining, transportation, marketing)

Divestiture is a political term.   It is the forced break up of major oil companies.

Divestiture
Divestiture