(Adds comment from CEO)
Dec 7 Oil and gas major Chevron Corp on
Wednesday announced a $19.8 billion capital and exploratory
investment program for 2017, down 42 percent from its outlays in
The 2017 budget is expected to be at least 15 percent lower
than projected 2016 capital investments, Chevron said.
"This is the fourth consecutive year of spending
reductions," Chief Executive John Watson said in a statement.
"This combination of lower spending and growth in production
revenues supports our overall objective of becoming cash
balanced in 2017."
The 2017 capital budget will target high-return investments
and completion of major projects under construction, Watson
Chevron said in March it would slash its capital budget by as
much as 36 percent in 2017 and 2018.
Construction is nearing completion on several major capital
projects, which are now online or will come online in the next
San Ramon, California-based Chevron reported a drop in
third-quarter profit in October, but the results beat
expectations as cost cuts in the company's U.S. oil production
division helped mitigate some of the impact of low crude prices
(Reporting by Akankshita Mukhopadhyay in Bengaluru; Editing by
Jonathan Oatis and Leslie Adler)