Exxon and Chevron have exceeded analysts expectation for third quarter profits. You would expect the majors to start gearing up for more organic growth. Does not appear to be the case. Exxon is planning to launch a new share buy-back program. I was talking to a contract drilling engineer and he said that the market was cold. It is starting to look like that the oil and gas majors may be switching out of hydrocarbons and going to green energy. Good luck with that strategy. BP is already touting they are Beyond Petroleum. If this is the trend, then be prepared go into harvest mode and ride the decline curve down. Not a fun time.
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@2jwj+1dAlCUUj
stop spreading fake news, hoping that stock analyst will look at cvx favorably
treasury and financial planning will not give any interviews. period
ABU is planning big “factory” model field development to keep Gorgon LNG full. All the while ramping up CCS…. Future looks bright down under!
A couple of clarifiers: 1) Chevron has not found a drop of oil in Brazil in over 20 years there (lots of high-pots stamped their passports, though), and its Frade investment was a technical and financial disaster. Brazil is not the answer, even if you could negotiate a reasonable contract. (Don't expect Mexico to be any better.) 2) The Chevron pipeline for near-term and mid-term MCPs is practically dry. As there's no exploration going on, don't expect anything better in the next fifteen years. MW has bet the company (or at least the five years until his retirement) on Permian, Tengiz and Australia to maintain cash flow, but no hopes for any growth. "Decline" should be the word entering the Chevron vocabulary.
Chevron should buy EQT.
Brazil? We have less than nothing. Terrible acreage with expensive drilling commitments.
For the first time in 15 years at the company I’m liquidating my CVX stock with this rally. As others have said, the days of MCPs are done, we have nothing on tap for major growth in upstream aside from throwing more rigs online in the PB, maybe Argentina, but that’s another speculative SA gamble. Maybe Brazil? Time to prepare for the future #$@% show folks, I’m planning for early retirement, either voluntarily or with a MW transformation V2 severance bu-t pat.
Umm, our 2021 budget is $14B and as of last week the forecast is to spend $12B, nearly a 15% haircut on spending.
As long as the stock, rocks, it’s all good! 🤑
False, in an interview recently with the treasury & financial planning department at Chevron, they have said they are planning on making huge investments this quarter.
Many new big things coming.. keep in mind this company has a very strong balance sheet and excessive cash flow just sitting around. Don't get it twisted by comparing it with ExxonMobil who's employees that have been there for 10 years + or recently just started about 1 year ago are already quitting.
Future?? We are at $80 oil and $5.50 MCF. We have nothing in the pipeline. What do you think the pipeline looks like. Doesn’t look good from what I see. Looks like we are not going to be growing or making new investments so we will continue to decrease and shrink for many many years to come.
congress hearing on oil&gas companies will likely lead to some form of fines on CVX/Exxon in future to fund the infrastructure bill/climate change bill, so better save all the cash now to pay for our past deeds
The record is only going back 8 years, so not a big deal. Leadership claims that prices are currently cyclical, not structural and thus no investments are warranted. MW will hold tight on spending, reduce it further to juice the books and stock price. He is a corporate raider in some ways, slashing costs, shrinking the business to make it look good. Perhaps attractive to an investor or for a sale to a larger company?? That is typically what happens after initial talks fail as the suitor doesn't like what their due diligence turns up. Seller cleans it up and talks are back on. A sale is probably the only way for the execs to get their stock grants in the black at this point.
I can't imagine spending money on a project with a payout more than five years out. The speed with which climate change is affecting investments spins my head. Look for shale and small cap projects only from here on out.
Stock buy-backs are a company's way of saying, "we don't have any profitable projects in the pipeline". Think about that everytime you hear MW or PB talk about stock buy-backs. Oh, and stock buy-backs are VERY healthy for those with stock options, i.e., those PSG 26 and higher. The rest of you? "Let them eat cake!".
If you want to know what your future looks like at Chevron, just look at the projects or potential projects in the pipeline. If the pipeline is dry or especially if management starts to dismantle the pipeline, then the future at Chevron is limited for oil and gas professionals.
Not going green right now aside from CCS / biofuels. Across the industry there is a huge focus on returning capital. "Grow at any cost" was pretty capital destructive, so companies are holding back on aggressive spending.
Upstream capex will surely come back at these prices -- and Baker Hughes data shows the rig count is going up. There just seems to be more discipline this time (for now).
Don’t you think BP was forced to go green though?
20 years ago BP only talked about being green, now they are executing it.
British Petroleum rebranded to Beyond Petroleum almost 20 years ago.