Chevron announces $15 billion capital and exploratory budget for 2022

December 3, 2021

Continued discipline with capital at low end of 2022-2025 guidance
Raises share buyback guidance range to $3 to $5 billion per year

Chevron Corporation announced a 2022 organic capital and exploratory spending program of $15 billion, at the low end of its $15 to $17 billion guidance range and up more than 20% from 2021 expected levels. This capital program supports Chevron’s objective of higher returns and lower carbon, including approximately $800 million in lower carbon spending. The program excludes expected inorganic capital of $600 million in anticipation of the formation of a renewable fuel feedstocks joint venture with Bunge.

“The 2022 capital budget reflects Chevron’s enduring commitment to capital discipline,” said Chevron Chairman and CEO Mike Wirth. “We’re sizing our capital program at a level consistent with plans to sustain and grow the company as the global economy continues to recover.”

Consistent with its track record of returning excess cash to shareholders, the company is raising its share buyback guidance range to $3 to $5 billion per year, versus prior guidance of $2 to $3 billion per year. “We’re a better company than we were just a few years ago. We’re more capital and cost efficient, guided by a clear and consistent objective to deliver higher returns and lower carbon,” Wirth continued. “And this enables us to return more cash to shareholders.”

Details of the 2022 Organic Capital and Exploratory Investment Program include:

Chevron 2022 Organic Planned Capital & Exploratory Expenditures¹
	$ Billions
U.S. Upstream		6.4
International Upstream		6.2
Total Upstream		12.6
U.S. Downstream		1.7
International Downstream		0.6
Total Downstream		2.3
Other		0.4
TOTAL (Inc. Chevron’s Share of Expenditures by Affiliated Companies)		15.3
Expenditures by Affiliated Companies		(3.6)
Organic Cash Expenditures by Chevron Consolidated Companies		11.7

(1) Numbers may not sum due to rounding

Upstream

In the upstream business, approximately $8 billion is allocated to currently producing assets, including about $3 billion for Permian Basin unconventional development and approximately $1.5 billion for other shale & tight assets worldwide. Additionally, $3 billion of the upstream program is planned for major capital projects underway, of which about $2 billion is associated with the Future Growth Project and Wellhead Pressure Management Project (FGP / WPMP) at the Tengiz field in Kazakhstan. Finally, approximately $1.5 billion is allocated to exploration, early-stage development projects, midstream activities and carbon reduction opportunities.