Chevron’s “Stability Strategy”: Dividend Raised by 4%, No New Equipment Purchases but Increased Production in Venezuela

Glonghui, January 30｜Chevron's performance exceeded analysts' expectations as surging crude oil production, driven by increased supply from the US Gulf of Mexico and Kazakhstan, offset the impact of falling oil prices. Chevron's adjusted net profit for the fourth quarter was $1.52 per share, 14 cents higher than the average estimate from surveys. The company raised its dividend by 4% to $1.78 per share, which was 1 cent lower than expected. Chevron expects further growth this year, with production projected to increase by about 8%, mainly from oil fields in Guyana and the Eastern Mediterranean. Chevron's highly regarded spending discipline on Wall Street is facing pressure from Trump, who wants Chevron to make large-scale investments in Venezuela. Chevron plans to increase production in Venezuela by 50% over the next two years, but according to Vice Chairman Mark Nelson, the company will use existing surface equipment and other assets, indicating that its capital budget will not undergo significant changes.