Shares of the Houston-based company were up nearly 7% to $13.34 in premarket trading. Chevron, which is headquartered in San Ramon, Calif., was flat at $89.05.
Chevron said in a statement that proposed to acquire Noble Midstream's stock for $12.47 a share, which Bloomberg calculated to be about $1.13 billion.
Chevron already is the indirect majority owner of Noble Midstream and is its largest customer, according to Bloomberg. Noble Energy, which was acquired by Chevron in 2020, owns a 62% stake in Noble Midstream.
"Chevron expects the proposed transaction to align long term interests by efficiently combining two highly integrated businesses while streamlining governance of the NBLX assets, which primarily serve Chevron as its largest customer," Chevron said.
Chevron added that there can be no assurance that Noble Midstream's board would approve the offer or "that any transaction would be consummated."
Noble Midstream Partners provides crude oil, natural gas, and water-related midstream services and owns equity interests in oil pipelines in the DJ Basin in Colorado and the Delaware Basin in Texas.
Energy companies have been reeling since the coronavirus pandemic devastated oil and gas demand.
The talks were preliminary and aren't continuing, according to the Wall Street Journal.
Last month, Chevron posted a surprise fourth-quarter loss due to costs linked to the Noble Energy acquisition and the impact of the pandemic shutdown.
A spokesperson for Noble Midstream Partners said the company was aware of the offer, but did not have any comment at this time.