Strategy update: Chevron accelerates new energies investment

Chevron is accelerating its commitment to the energy transition. Cumulative capital investment is tripled from the previous outlook to US$10 billion through 2028. That equates to more than US$1.0 billion per year. The Supermajor also raised its overall annual budget by 7% through 2025 from US$14-16 billion to US$15-17 billion, reflective of higher new energies spend. Until recently, it was difficult to string together Chevron’s new energies investments into a cohesive strategy. But messaging has improved tremendously since the formation of a new energies business unit in late July. The US$10 billion commitment can be allocated to one of four verticals: carbon capture & offsets, renewable fuels, hydrogen and greenhouse gas (GHG) reduction projects.