US energy giant and LNG player, Chevron, is focused on growing...

US energy giant and LNG player, Chevron, is focused on growing the company’s free cash flow in 2018 and beyond even with no commodity price appreciation.

“We expect to deliver stronger upstream cash margins and production growth. This is a powerful combination,” said Michael Wirth, Chevron’s chairman and chief executive officer at the company’s annual security analyst meeting.

“We intend to maintain capital discipline, as evidenced by an $18 billion investment program this year and an $18-$20 billion annual investment range projected through 2020,” Wirth added.

Jay Johnson, executive vice president, upstream, said the company is also focused on delivering production growth from the Gorgon and Wheatstone LNG projects in Australia.

Chevron expects to have all five Gorgon and Wheatstone LNG trains generating cash flow by the second quarter of the year. The company noted it has approximately 50 Trillion cubic feet of discovered equity resource offshore Western Australia.


Trinidad and Tobago’s liquefied natural gas (LNG) production increased 20 percent year-on-year in January to 2.7 million cubic meters.

This was the highest monthly LNG production since January 2015 when Atlantic LNG’s Point Fortin facility produced 2.87 million cubic meters, according to the data by Trinidad’s Ministry of Energy.

Trinidad’s LNG production started gradually to pick up last year helped by new upstream gas developments such as BP’s Juniper project and the onshore compression project.

These new developments are helping Trinidad get back on track in reversing the negative trend in domestic gas production and are boosting LNG production at the country’s sole facility.

LNG sales and deliveries from Atlantic LNG’s 14.8 mtpa export facility came to 61.3 million MMBtu in the month under review, a rise of 18 percent on year, the data showed.

Trinidad’s gas production increased almost 17 percent in January, averaging 3.90 Bcf/d.

This was the highest monthly volume since March 2015, the ministry’s data said.

A rising trend in the country’s gas production started in July last year and continued to January with the exception of October when the production dropped 6.8 percent on year.

Atlantic produces LNG from natural gas delivered from offshore fields north and east of Trinidad owned and operated by affiliates of the company’s members and others.

The LNG producing company is owned by BP, Shell, China’s sovereign wealth fund CIC unit Summer Soca and Trinidad’s state-owned company NGC.

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