Chevron Cuts Capital Spending by $4bn in Response to Coronavirus Crisis

Related Articles

Iran’s Daily Gas Supply from Storage Caverns to Hit 100 mcm

2 weeks ago

OPEC Reports Slight Increase in Iran Oil Output in September

3 weeks ago

Non-Oil Exports to Russia Rise 12% in 6 Months on Year

3 weeks ago

Chevron is to make cuts of $4 billion (£3.2bn) to its 2020 capital spending in the face of collapsing oil prices and the coronavirus’ hit on global crude demand.

The US oil giant said it would continue to execute plans to reduce operating costs by more than $1 billion (£820m) by the end of the year.

On an annual basis, the cuts in upstream spending imposed now will equate to a 30% drop compared with the budget announced in December 2019.

Michael Wirth, Chevron Chairman and CEO, said: With an industry leading balance sheet and a flexible capital program, we believe Chevron is resilient and positioned to withstand this challenging environment.

Given the decline in commodity prices, we are taking actions expected to preserve cash, support our balance sheet strength, lower short-term production, and preserve long-term value.