Chevron announced updated agreements covering its Venezuelan joint ventures, including additional acreage in the Orinoco Belt, and plans to invest more than $7 billion over the next five years. The company expects production from its Venezuelan ventures to more than double to approximately 600,000 barrels per day, with total production costs below $20 per barrel. The move comes as U.S. imports of Venezuelan crude jumped by 183,000 barrels per day in the week ended Sept. 11 to 782,000 barrels per day, the highest weekly total since August 2017, according to the U.S. Energy Information Administration. Over the past six months, Venezuelan imports have increased by 550,000 barrels per day, or 237%, while the three-month average reached 626,000 barrels per day. President Trump has said he will use Venezuelan oil to help refill the Strategic Petroleum Reserve, and the Sept. 11 Federal Register lists Chevron among companies authorized to conduct specified Venezuela-related activities. Chevron reported second-quarter revenue of $70 billion, earnings of $12 billion, or $6.06 per share on an adjusted basis, and adjusted free cash flow of $15.4 billion, while its board declared a quarterly dividend of $1.78 per share.
Chevron CorpChevron announced over $7 billion investment in Venezuelan joint ventures, adding Orinoco Belt acreage and expecting production to more than double to ~600,000 bpd.
