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MOSCOW (MRC) -- Chevron Corporation has
made a 2021 organic capital and exploratory spending program of USD14 billion
and lowered its longer-term guidance to USD14 to USD16 billion annually through
2025, accoring to The
Daily.
This capital outlook will continue to prioritize investments
that are expected to grow long-term value and deliver higher returns and lower
carbon, including over USD300 million in 2021 for investments to advance the
energy transition.
“Chevron remains committed to capital discipline with
a 2021 capital budget and longer-term capital outlook that are well below our
prior guidance,” said Chevron Chairman and CEO Michael Wirth.
“With our
major restructuring behind us and Noble Energy integration on track, we’re
prepared to execute this program with discipline.”
Chevron’s capital
guidance of USD14 to USD16 billion annually from 2022 to 2025 is significantly
lower than its previous guidance of USD19 to USD22 billion, which excluded Noble
Energy.
During this time period, as capital is expected to decrease for a
major expansion in Kazakhstan, the company expects to increase investments in a
number of Chevron’s advantaged assets, including its world class position in the
Permian, other unconventional basins, and the Gulf of Mexico.
He added:
“Chevron is in a different place than others in our industry. We’ve maintained
consistent financial priorities starting with our firm commitment to the
dividend. We took early and swift action at the beginning of the pandemic to
prudently allocate capital, reduce costs and protect our industry-leading
balance sheet. And we’ve completed a major acquisition and restructuring that
positions our company to deliver higher returns and grow long-term
value.”
As MRC reported earlier,
Chevron Phillips Chemical, part of Chevron Corporation, still has not lifted
force majeure on its polyethylene (PE) products after assessing the impact of
Hurricane Laura to its Gulf Coast PE operations. The force majeure circumstances
were declared on 1 September, 2020. CP Chem operates a 420,000 mt/year
high-density polyethylene (HDPE) plant in Orange, Texas, and an 855,000 mt/year
cracker in Port Arthur. The company plans to minimize the impact of the event
and return to full PE deliveries as soon as possible.
Ethylene and
propylene are feedstocks for producing polyethylene (PE) and polypropylene
(PP).
According to MRC's ScanPlast report,
Russia's estimated PE consumption totalled 1,760,950 tonnes in the first ten
months of 2020, up by 3% year on year. Only high density polyethylene (HDPE) and
linear low density polyethylene (LLDPE) shipments increased. At the same
time, PP shipments to the Russian market reached 978,870 tonnes in
January-October 2020 (calculated using the formula: production minus exports
plus imports minus producers' inventories as of 1 January, 2020).
Supply of exclusively of PP random copolymer
increased.
Headquartered in San Ramon, California, Chevron Corporation is
the the second-largest integrated energy company in the United States and among
the largest corporations in the world. Chevron is involved in upstream
activities including exploration and production, downstream activities including
refining, marketing and transportation, and advanced energy technology. Chevron
is also invested in power generation and gasification processes. |
