Chevron Ramps Up Permian Output Despite Spending Cuts
Chevron Corp. (CVX) plans to boost oil production in the US Permian Basin by up to 10% this year, despite reducing capital expenditures in the region, according to CEO Mike Wirth.
Full-year production from the shale field will be 9-10% higher than the 2024 average, Wirth said in an interview. While this represents a significant increase for Chevron, which produced an equivalent of 992,000 barrels of Permian oil daily in Q4 2024, it marks a slowdown from the 16% annual growth rate seen in recent years.
"We'll grow but at a less steep rate over the next couple of years and move toward a plateau," Wirth stated. The strategy is to "build a large position" and generate "strong cash flow."