Chevron Corp. (CVX) expects its second-quarter production to
decline slightly from the year-earlier period as lower output
abroad offsets a modest increase domestically.
The second-largest U.S. oil company in market value after Exxon
Mobil Corp. (XOM) forecast second-quarter earnings would be above
its first-quarter profit thanks to asset-sale gains in the latest
period, and a comparison with the previous quarter which included
write-downs.
The company produced 2.6 million barrels of oil and natural gas
in April and May, down 0.6% from the year-earlier period.
Throughout the oil giant's interim report, Chevron compared the
first two months of the second quarter with the entire quarter of
the year-earlier period and all of the first quarter of 2014.
Chevron's U.S. production in the first two months of the quarter
reached about 665,000 barrels of oil and natural gas a day, an
increase of 0.9% from the year-earlier quarter and a 3.9% increase
from the first quarter, mostly because of less maintenance activity
in the Gulf of Mexico and increased production in the Permian
Basin.
International production reached 1.9 million barrels a day, down
1.1% year-to-year and falling 2.4% from the first quarter, on
planned turnaround activity in Kazakhstan, in addition to the
shutdown of the LNG facility in Angola.
Average realized U.S. oil prices edged down 0.3% to $92.01 a
barrel in the first two months of the quarter from the year-earlier
quarter, while international prices rose 7.1% to $100.35.
Average realized domestic natural-gas prices increased by 8.7%
to $4.11 per thousand cubic feet in the first two months of the
quarter from the year-earlier quarter. Prices outside the U.S. rose
1.2% to $6.
Chevron plans to report its second-quarter results on Aug.
1.
Write to Tess Stynes at tess.stynes@wsj.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires