CVX Chevron Corporation

By Bradley Olson 

Chevron Corp. on Thursday said it named Michael Wirth, an engineer and longtime operator of a vast network of refining and pipeline assets, as its next chief executive.

Mr. Wirth, 56 years old, will become chairman and chief executive on Feb. 1, replacing John Watson, who led Chevron through a time of high oil prices and escalating costs as well as a prolonged downturn in the last three years.

The Wall Street Journal last month first reported the imminent change at the top of the second-largest U.S. oil company, behind Exxon Mobil Corp.

Chevron began the succession process earlier this year when it appointed Mr. Wirth vice chairman. With the ascension of Mr. Wirth, Chevron follows a number of other large oil companies who now have engineers and operations specialists with experience running refineries at the helm.

That reflects a shift under way at big oil companies as they adapt to a prolonged period of lower prices brought about by the U.S. shale boom.

While the companies once favored swashbuckling leaders who bet billions on megamergers and pricey projects in far-flung regions, many are now turning to executives adept at squeezing every last dollar from a barrel through refining, and shorter-term investments that turn a profit faster.

Mr. Wirth was chosen for many reasons that extend beyond his experience in this area, Mr. Watson said in an interview Thursday.

"Mike is broader than that," Mr. Watson said. "He was selected because of his track record of accomplishment and his breadth of leadership."

Write to Bradley Olson at Bradley.Olson@wsj.com

(END) Dow Jones Newswires

September 28, 2017 10:26 ET (14:26 GMT)

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