Chevron Diversifies Gas Portfolio to Meet Growing Demand Amid Middle East Crisis

Chevron's President of Global Gas, Freeman Shaheen, said the company is looking to expand its global gas portfolio from Argentina to the Mediterranean to meet growing demand from buyers concerned about energy security due to the crisis in the Middle East.

The global gas market has experienced two major disruptions in the past four years as the Ukraine war in 2022 and the Iran conflict this year cut off supplies from top producers Russia and Qatar, driving liquefied natural gas prices higher. Shaheen said that these crises reinforce the need for diversity of supply and contracting structures.

Chevron will have about 20 million tonnes per annum of LNG supply capacity, comprising 16 million tonnes of net gas production from its projects and four million tonnes contracted from the US Gulf Coast.

The company is also eyeing opportunities in Australia and Africa, provided the projects offer the right capital, fiscal, and regulatory terms. Shaheen mentioned that Venezuela, where Chevron and its partners would invest over $7 billion to more than double oil output by 2031, will be analyzed and ranked against other projects.