Chevron Corporation (NYSE: CVX) executives said today at the company′s
annual security analyst meeting in New York that the company is
continuing to deliver industry-leading operational and financial results
and progressing key development projects.
'We had another outstanding year in 2012. We continue to lead the
industry in total shareholder returns and most other safety and
financial performance metrics,? said John Watson, Chevron′s chairman and
CEO. Watson added, 'Our key development projects remain on track, and we
are well positioned to deliver our 2017 target of 3.3 million barrels of
oil-equivalent production first announced three years ago. In addition,
our project queue is gaining momentum to deliver growth beyond 2017.?
George Kirkland, vice chairman and executive vice president, Upstream,
highlighted Chevron′s industry-leading upstream results, which include
top rankings on earnings per barrel, cash margin per barrel and return
on capital employed. The company also highlighted the strong performance
of Chevron′s current producing base, where a consistent focus on
reliability, operating efficiency and targeted investments has reduced
natural field decline rates. He also noted ample investment
opportunities and the ability to expand shale and tight reservoir
operations, particularly in North America′s Permian and Marcellus basins.
Kirkland reviewed progress on key growth projects under construction.
'We are advancing our project queue as planned. Construction on our
Australian LNG projects, Gorgon and Wheatstone, is progressing very
well, with first LNG for Gorgon targeted for early 2015. Construction
continues on the Jack/St. Malo and Big Foot deepwater projects in the
U.S. Gulf of Mexico, both of which are scheduled for start-up in 2014.?
He highlighted encouraging results from recent, new technology
applications designed to improve recoveries and reduce costs for
deepwater developments. Finally, Kirkland commented on favorable project
returns, noting, 'The projects we are bringing on line over the next
five years have very sound economics and potential to increase our cash
margins.?
As part of the upstream discussion, Jay Johnson, president, Chevron
Europe, Eurasia and Middle East Exploration and Production, focused on
Chevron′s queue of projects and exploration opportunities aimed to
deliver additional long-term production growth. 'Our growth
opportunities include multiple frontier exploration plays and developing
existing resources, most notably Tengiz operations in Kazakhstan, Wafra
steamflood operations in the Partitioned Zone, and Australian and
Canadian LNG. We′re well positioned for growth beyond 2017,? Johnson
said.
Mike Wirth, executive vice president, Downstream and Chemicals,
summarized the results of Chevron′s multiyear plan to improve earnings
in refining and marketing. 'Our restructuring efforts are complete.
We′ve sold under-performing or non-strategic assets, simplified our
operations and reduced costs. Returns have increased 10 percent as a
direct function of the improvements we′ve captured.? Wirth added, 'We
will maintain a focused and competitive portfolio, and selectively
pursue growth in petrochemicals and lubricants.?
Pat Yarrington, vice president and chief financial officer, highlighted
Chevron′s financial performance and consistent financial priorities.
Yarrington noted the company′s history of investing for growth while
significantly increasing the dividend, repurchasing shares and
strengthening the balance sheet. 'Over the next five years, operating
cash flows should grow significantly, as new production comes online. We
intend to continue our cash distribution policies,? Yarrington said.
Presentations delivered by Watson, Kirkland, Wirth, Yarrington and
Johnson are available on the Investor Relations website at
Chevron is one of the world's leading integrated energy companies, with
subsidiaries that conduct business worldwide. The company is involved in
virtually every facet of the energy industry. Chevron explores for,
produces and transports crude oil and natural gas; refines, markets and
distributes transportation fuels and lubricants; manufactures and sells
petrochemical products; generates power and produces geothermal energy;
provides energy efficiency solutions; and develops the energy resources
of the future, including biofuels. Chevron is based in San Ramon, Calif.
More information about Chevron is available at
Cautionary Statement Relevant to Forward-Looking Information for the
Purpose of 'Safe Harbor? Provisions of the Private Securities Litigation
Reform Act of 1995
This press release of Chevron Corporation contains forward-looking
statements relating to Chevron′s operations and growth targets that are
based on management′s current expectations, estimates and projections
about the petroleum, chemicals and other energy-related industries.
Words such as 'anticipates,' 'expects,' 'intends,' 'plans,' 'targets,'
'forecasts,? 'projects,' 'believes,' 'seeks,' 'schedules,' 'estimates,'
'budgets,'?outlook? and similar expressions are intended to identify
such forward-looking statements. These statements are not guarantees of
future performance and are subject to certain risks, uncertainties and
other factors, many of which are beyond the company's control and are
difficult to predict. Therefore, actual outcomes and results may differ
materially from what is expressed or forecasted in such forward-looking
statements. The reader should not place undue reliance on these
forward-looking statements, which speak only as of the date of this
presentation. Unless legally required, Chevron undertakes no obligation
to update publicly any forward-looking statements, whether as a result
of new information, future events or otherwise.
Among the important factors that could cause actual results to differ
materially from those in the forward-looking statements are: changing
crude oil and natural gas prices; changing refining, marketing and
chemical margins; actions of competitors or regulators; timing of
exploration expenses; timing of crude oil liftings; the competitiveness
of alternate-energy sources or product substitutes; technological
developments; the results of operations and financial condition of
equity affiliates; the inability or failure of the company′s
joint-venture partners to fund their share of operations and development
activities; the potential failure to achieve expected net production
from existing and future crude oil and natural gas development projects;
potential delays in the development, construction or startup of planned
projects; the potential disruption or interruption of the company′s
production or manufacturing facilities or delivery/transportation
networks due to war, accidents, political events, civil unrest, severe
weather or crude oil production quotas that might be imposed by the
Organization of Petroleum Exporting Countries; the potential liability
for remedial actions or assessments under existing or future
environmental regulations and litigation; significant investment or
product changes required by existing or future environmental statutes,
regulations and litigation; the potential liability resulting from other
pending or future litigation; the company′s future acquisition or
disposition of assets and gains and losses from asset dispositions or
impairments; government-mandated sales, divestitures, recapitalizations,
industry-specific taxes, changes in fiscal terms or restrictions on
scope of company operations; foreign currency movements compared with
the U.S. dollar; the effects of changed accounting rules under generally
accepted accounting principles promulgated by rule-setting bodies; and
the factors set forth under the heading 'Risk Factors? on pages 28
through 30 of the company′s 2012 Annual Report on Form 10-K. In
addition, such results could be affected by general domestic and
international economic and political conditions. Other unpredictable or
unknown factors not discussed in this presentation could also have
material adverse effects on forward-looking statements.
