By January 21, 2014 Read More →

Chevron eyes $40 billion for drilling

By Casey Junkins

The Intelligencer/Wheeling News-Register

MOUNDSVILLE, W.Va. — Global oil giant Chevron has big plans for the Marcellus Shale underlying West Virginia’s Northern Panhandle and even bigger plans for the rest of the world, as the California-based company will spend nearly $40 billion to drill and frack this year.

“Overall, we have an attractive portfolio of investment opportunities which we will continue to fund in a disciplined fashion to grow value and shareholder distributions,” said Chairman and CEO John Watson.

Approximately 90 percent of the 2014 spending program is budgeted for upstream crude oil and natural gas exploration and production projects. Another 8 percent will be used with Chevron’s businesses that sell gasoline, diesel fuel and other refined products, fuel and lubricant additives.

Chevron is one of the largest publicly owned oil companies in the world, alongside fellow “supermajors” Exxon Mobil, BP, Royal Dutch Shell, Total and ConocoPhillips. Chevron earned $5 billion worth of income from June through September, although this amount is actually $300 million less than Chevron took home over the same period in 2012.

To this point, only Chesapeake Energy has actually drilled Marcellus Shale wells in Ohio, Brooke or Hancock counties in West Virginia. Chevron, Trans Energy, Consol Energy, Magnum Hunter, Stone Energy, Gastar Exploration, Noble Energy and several others join Chesapeake in working in Marshall, Wetzel and Tyler counties.

Watson said Chevron is increasing Marcellus Shale production in West Virginia and Pennsylvania…

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