Oil major Chevron Corp. CVX, +0.30% on Wednesday said it expected capital expenditure budgets next year of $14 billion for its subsidiaries and $3 billion for its affiliates.
The numbers, which followed a year of higher oil prices but higher costs for almost everything else, were close to the high end of its forecasts and would represent a more than 25% jump in expected spending, excluding acquisitions, the company said. However, the company said affiliate spending for 2023 would be down from the expected levels for 2022. The plans for next year included roughly $2 billion in lower-carbon spending, and assumed “cost inflation that averages in the mid-single digits with certain areas higher, such as the Permian Basin that assumes low double-digit cost inflation,” the company said. “Our capex budgets remain in line with prior guidance despite inflation,” Chief Executive Mike Wirth said in a statement. Shares dipped .08% after hours.