PERTH (miningweekly.com) – US oil and gas giant Chevron has warned that 6 000 to 7 000 jobs will be cut globally as the company works to cut costs.
Chairperson and CEO John Watson at the end of last week said capital and exploration spend for 2016 would be 25% lower in the 2016 financial year than in 2015, reaching between $25-billion and $28-billion.
“We expect further reductions in spending for 2017 and 2018, to the A$20-billion to $24-billion range, depending on business conditions at the time. With the lower investment, we anticipate reducing our employee workforce by 6 000 to 7 000.”
Chevron was continuing construction on both its Gorgon and Wheatsone liquefied natural gas (LNG) projects, in Australia.
The Gorgon project is more than 90% complete and includes the construction of a 15.6-million-tonne-a-year LNG plant on Barrow Island and a domestic gas plant with the capacity to supply 300 terajoules of gas a day to Western Australia.
Wheatstone is more than 65% complete and includes two LNG trains with a combined capacity of 8.9-million tonnes a year, as well as a domestic gas plant.