Chevron to spend $US2bn on Gorgon, Wheatstone

Energy giant Chevron has committed $US2 billion ($A2.7 billion) next year towards completing its Gorgon and Wheatstone projects in Western Australia.

US-headquartered Chevron announced the commitment as part of a $US19.8 billion investment program for 2017, which includes a $US7 billion commitment for major projects that are already in progress.

That investment is expected to be a 15 per cent reduction on Chevron’s 2016 investment program, and is a 42 per cent decrease on its 2015 outlays.

“Our spending for 2017 targets shorter-cycle time, high-return investments and completing major projects under construction,” Chevron chairman and chief executive John Watson said.

“This is the fourth consecutive year of spending reductions.

“Construction is nearing completion on several major capital projects, which are now online or expected to come online in the next few quarters.

“This combination of lower spending and growth in production revenues supports our overall objective of becoming cash balanced in 2017.”