US energy major Chevron, which is developing two giant LNG projects in Australia, posted a drop of 43 pct in its first quarter profit.
Chevron’s earnings in the first quarter were at US$2.6 billion, compared with US$4.5 billion in the same period a year ago.
“ First quarter earnings declined from a year ago due to sharply lower oil prices, which reduced revenue and earnings in our upstream business ,” said Chevron’s Chairman and CEO John Watson.
According to Watson, Chevron is responding to the current price environment by capturing cost reductions, pacing new project approvals and further streamlining its portfolio as planned.
Chevron’s production increased over 3 percent in the first quarter, and “ we are hitting major milestones on our development projects under construction, like Gorgon and Wheatstone in Australia, ” Watson added.
Sales and other operating revenues in the first quarter were US$32 billion, compared to US$51 billion in the year-ago period.
LNG World News Staff; Image: Chevron