Chevron, President of Chevron, says that the rock oil boom in the United States turns from the cash mill to a cash cow.

Chevron, which tends to the West Texas basin, tends to have a mixture of scale and technology allows her to jump from a vicious circle of spending and finally pumping rock works for healthy profitability without constant crying for “drilling, child, drilling”. while Exxon Mobil It may remain greater, Chevron aims first in the eyes of Wall Street, which was previously strained in the oil sector.

Close 53 billion dollars to gain Hydrate In July, Chevron allows internationally on the new growth, Especially her acquired abroad Guyana – the largest oil discovery in the century – with the use of the United States and its huge imprint in Permian to reap the required flow of free cash flow.

The HESS deal also includes a huge imprint in playing Bakken SHALE oil in North Dakota, which increases heavy Chevron’s dependence on oil and gas production in wild rock in the United States – 20 years ago through horizontal drilling and hydraulic fracture techniques.

After developing the wild rock site in the United States to 40 % of the global oil and gas production portfolio-by 50 %, including the Gulf of Mexico-through the spending of large capital, Chevron is now aimed at removing it in the United States, and overcomed the president in the United States.

“There was a period of time in oil rock and tightness in this industry, as it was a lot of attention to growth – as there was a lot of growth that you could get.” luck. “The axis for us is from growth, as attention was during the past few years, to generate cash flow. We are making the activity to manage it on a plateau and focus on becoming very effective in what we do.

“Given the wallet we have, we will be able to do this until the end of the next decade,” he added.

Industrial analysts largely construct the “axis”.

“This is what we were looking for for a contract from these companies,” said Biraj Borkhataria, noting that Chevron can reduce rock spending by about $ 1.5 billion annually and keep production sizes relatively equal.

Another element is a large global giant for oil that does not want to put much of its dependence on any one country, even if the United States “Chevron was very clear about the production of rocks as a percentage of the wallet, and desire luck.

Permian Powerhouse

The pelvis dominates the American oil industry, as it produces nearly half of nearly 13.4 million barrels of crude oil per day.

Chevron is not an exception, as he achieved a goal in one million barrels of one million barrels of the equivalent of oil per day, including natural gas. This makes Chevron the second largest producer in the region after its opponent Exxon.

The effect of the alleged mill in the parameis depends on the thesis that the rock wells are quickly dug for large initial flows of oil that begin to exhaust relatively quickly, and therefore continuous spending and drilling should continue to preserve the folders.

Chevron has greatly replaced this puzzle with a mixture of scale, increased efficiency, and its new slowdown, allowing more oil and gas to come out through fewer drilling platforms and cracks-wells under the surface ever.

He said that Chevron shrinks his piercing activity from 13 active drilling platforms to nine with other expected expectations.

The unique Chevron heritage dates back to the nineteenth century when the Texas Passevik railway tried and failed to build a Texas railway to California. It turned into Texas Pacific Land Trust The railway management has approximately 3.5 million acres of Texas.

The West Texas oil boom struck in the twenties of the twentieth century, and the Pacific Ocean, which operated an oil company that was eventually obtained by Texaco in 1962. Chevron Texas bought in 2001 for $ 36 billion at a time when the blind position was considered a detailed after the previous unburled revolution thought.

“There was a time in the history of our company, as there was not much interest in him because Bermean had reached its climax and was in this long and slow decline.” “But we made a deliberate decision to keep it. We have a history of large fields that are increasingly in size.”

What is unusual in the blind Chevron position because of the ancient history is that Chevron is only a small majority of its fingerprint. Instead, the rest is owned by long metal rights and common partnerships, which means that some blind revenues come without any spending on capital.

“Its conditions are not similar to anything you can find in the market today, which makes the wallet we have very unique in this regard.” “It may be difficult to reincist at any cost today under our conditions. It is an enormous feature.”

He said this is equivalent to Chevron, having a partial share in one in five Permian wells.

to Compare apples and orangesExxon owns and controlled by the vast majority of its pioneering perfect location in this field, and runs 35 huge drilling platforms there. Exxon became largely the best Permian player last year when he bought The leading natural resources For $ 60 billion. Therefore, Exxon will continue to grow and do not think about the plateau-where he generates great profits due to its huge mark to dig long and most efficient wells.

TD said: “I think Chevron runs the piercing supplier, perhaps the way they think can generate the highest returns of these assets,” TD said. Queen Energy analyst Jason Gables. “Exxon has just done this acquisition and much has not been developed, so it is logical that they are growing while Chevron is a kind of stability.”

Burkhariah said that stability is logical when oil prices are now weaker and no more global oil supplies were needed.

“One of them clearly responds to what they believe that the dynamics of the market is Chevron,” he said. “Does the market need me to grow from 10 % to 15 % per year? Maybe not. So, why?”

What next?

Chevron and Exix continues to embrace technology and artificial intelligence boom to become more expensive, which tends more towards computing and brains more than Brawn.

“Even this stage of oil rock and distress, there was a lot of brute force,” Nimer said, as companies relied on drilling on long wells at all and unlimited breaking. “Where we go after that, we will get more wells, but this will require a different kind of insight and the ability to connect things together, and artificial intelligence will be a large part of it.”

Outside Permian, Chevron and Exxon plans to focus a lot of its growth through Oil Offshore Guyana, which Exxon discovered a decade ago, and now that Chevron has bought partnership via Hess – on Exxon’s efficiency, and after legal arbitration, ultimate acceptance.

For Chevron, you should also decide where to get rid of abstract places and where to grow. Some of these decisions can come on the investor day in November.

Late last year, Chevron sold its Canadian oil and gas assets in Alberta for $ 6.5 billion, and it represents nearly half of the goal to strip $ 10 billion to $ 15 billion by 2028.

While Chevron calculates a bakery as an important new piece, analysts ask whether Chevron may be better at the sale there. It is more mature and may struggle to compete with the Parameyan. Chevron also has a 30 % stake in the Hesstream pipeline in Bakken.

Chevron can either get the rest of Hess Midstream to increase the profitability of Bakken, continue, or sell.

“We will have to see where Bakken goes. The origin that made everyone’s attention is Guyana, and this is clear that this is one of the global level assets, and we will have to see how things go in Bakken.” “We are really excited about the opportunity to be there and connect it to our other origins in rock and narrow works.”

Otherwise, Chevron should look to growth organically through international exploration in Africa, South America or the eastern Mediterranean, or may be in other places, analysts said. The success of the Pramean allowed Chevron to reduce spending on global exploration in recent years, which is part of the wider industry.

“I think what we will see is a kind of returning to exploration, and it is a little less risk in different regions worldwide,” said Borkaria.