Chevron CEO: Chevron targets a growth of $6-8 billion in free cash flows next year.
Michael Wirth, CEO of Chevron, said on Wednesday that the company is in a position to increase its cash flow from free to $8 billion and to reduce expenses "by a couple of billion dollars".
The U.S. oil producer No.2 expects to benefit from the start of new or expanded oil production projects in Kazakhstan, U.S. shale and offshore Gulf of Mexico. The No. 2 U.S. Oil Producer expects to see positive results from new or expanded oil projects in Kazakhstan, U.S. Shale and offshore U.S. Gulf of Mexico. Wirth, in his remarks at the Goldman Sachs Energy, CleanTech & Utilities Conference, Miami, said that oil production in the Gulf of Mexico would increase to 300,000 bbls of oil per day by 2026, from 200,000 barrels last year.
Chevron has produced its August production in August.
First oil
Under extreme pressure, a U.S. Gulf of Mexico Deepwater Field pioneered by the company is producing oil. The project is expected to produce up to 75,000 barrels per day at its peak. Two other offshore projects are planned by the company. He also stated on Wednesday that the global liquefied gas market may be oversupplied by the end of this decade.
Wirth stated that the U.S. may see the construction of more natural gas power plants to meet the energy demands of the increasing number of data centres for artificial intelligence. This will probably come before the expansion of nuclear energy.
Wirth stated that the United States is blessed with a plentiful supply of natural gas. Wirth stated that Chevron was prepared to close its $53 billion acquisition of oil producer Hess Corp. later this year. Exxon Mobil, CNOOC and Hess have challenged the contract arbitration by Exxon Mobil, Hess’ partners in a Guyana joint venture. Wirth stated that "we continue to have a high level of confidence in Hess in the arbitration, and feel they have the right side in this argument." Sheila Dang reported from Houston and Nick Zieminski edited the story.
(source: Reuters)
