- U.S. Upstream getting $6.6 billion; international upstream $9.2 billion
- $5.5 billion for the company’s share of expenditures by affiliated companies
- $2.2 billion of planned capital spending is associated with the company’s downstream businesses that refine, market and transport fuels, and manufacture and distribute lubricants, additives and petrochemicals
- $1 million was donated to the Oakland-based BASIC Fund (details below)
“Our 2018 budget is down for the fourth consecutive year, reflecting project completions, improved efficiencies, and investment high-grading,” said Chevron Chairman and CEO John Watson. “We’re fully funding our advantaged Permian Basin position and dedicating approximately three-quarters of our spend to projects that are expected to realize cash flow within two years.”
Watson added, “With production currently exceeding guidance in the Permian, our 2018 plan should deliver both strong production growth and solid free cash flow, at prices comparable to what we’ve seen this year.”
Chevron 2018 Planned Capital and Exploratory Expenditures
Upstream business
Approximately $8.7 billion is forecasted to sustain currently producing assets, including $3.3 billion for the Permian and $1 billion for other shale and tight rock investments. Approximately $5.5 billion of the upstream program is planned for major capital projects underway, including $3.7 billion associated with the Future Growth Project at the Tengiz field in Kazakhstan. Global exploration funding is expected to be about $1.1 billion. Remaining upstream spend will be for early stage projects supporting potential future developments.
Q3 2017 financials
Chevron Q3 2017
Chevron Q3 2017
$1 million BASIC Fund donation
The Oakland-based BASIC Fund received a $1 million donation from Chevron, the company said in a press release yesterday. The money will be used to fund aid scholarships for the children of San Francisco Bay Area’s low-income families.
The contribution is in honor of Chevron Chairman and CEO John Watson who is retiring February 1 after 37 years of service with the company.
“My mother was a teacher, and she taught me the importance of education at an early age,” said Watson. “My wife, Diane, was also a teacher and reinforced that message within our own family. A strong K–8 education sets the foundation for higher learning and a successful career. Unfortunately, not every family has access to this foundation.”
Chevron’s contribution builds upon a long-term commitment to supporting education in the communities where the company operates, with a particular focus on improving instruction in science, technology, engineering and math (STEM).
“This is the single largest corporate donation in our organization’s history. Through this support, together we will be able to provide scholarships to 100 children and launch a new business and financial literacy program to support students’ long term-success,” said Rachel Elginsmith, the BASIC Fund’s executive director.
