Exxon and Chevron Plot Permian Cuts With Shale Spending Axed
- Chevron chopping 125,000 barrels a day from Permian exit rate
- Exxon expects to shut in about 100,000 barrels a day in 2Q
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Exxon Mobil Corp. and Chevron Corp. are curbing production in the Permian Basin as shale spending bears the brunt of budget cuts spurred by a crash in crude prices.
Irving, Texas-based Exxon expects to shut in about 100,000 barrels of oil equivalent a day in the West Texas and New Mexico oil field in the second quarter. Chevron is chopping 125,000 barrels a day from its targeted exit rate for the basin this year. It will drop to just 5 rigs, Chief Executive Officer Mike Wirth said in a Bloomberg TV interview Friday.