Chevron to Take $11 Billion Writedown Amid Weak Gas Prices
- U.S. gas price at 20-year low hits value of Appalachian assets
- Company also explores sales of gas assets and LNG terminal
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Chevron Corp. expects to write down as much as $11 billion in the fourth quarter, more than half of it from its Appalachia natural gas assets after a slump in prices.
The U.S. oil major is considering the sale of shale-gas holdings, according to a statement Tuesday. The company said separately it intends to exit its stake in the Kitimat liquefied natural gas project in Canada. And Chevron also plans to keep its 2020 capital budget at $20 billion, the third consecutive year it hasn’t boosted spending.