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Chevron Posts Worst Loss in Decades With More Pain to Come

  • Venezuelan assets completely written down amid U.S. sanctions
  • Loss of $3 billion was twice as bad as analysts were expecting
Updated on

U.S. oil giant Chevron Corp. posted its worst quarterly loss in at least three decades and warned that the global pandemic wreaking havoc upon energy markets may continue to drag on earnings.

Chevron fully erased the value of its Venezuela operations from its books, amounting to $2.6 billion, after they were effectively frozen by U.S. sanctions, and wrote down another $1.8 billion in assets due to lower commodities prices. Even stripping out the impairments, Chevron’s adjusted loss was $3 billion, more than twice the average analyst estimate in a Bloomberg survey and the deepest since at least 1989.