Chevron has announced its organic capital expenditure plan for 2026, targeting a range of $18 billion to $19 billion for its consolidated subsidiaries. This figure is at the low end of the company's long-term guidance of $18 billion to $21 billion. The strategy is designed to focus on high-return opportunities, maintain financial discipline, improve efficiency, and grow cash flow and earnings, with the ultimate goal of delivering superior shareholder returns and strengthening long-term value.

Investment Allocation

The vast majority of the spending, approximately $17 billion, is directed toward upstream ventures. Within this upstream budget, the United States is anticipated to receive around $10.5 billion. A significant portion of the US investment, nearly $6 billion, is earmarked for shale and tight assets in the Permian, DJ (Denver-Julesburg), and Bakken basins, which are expected to support domestic production exceeding 2 million barrels of oil equivalent per day. Global offshore capital expenditure is projected to be about $7 billion, primarily focused on growth projects in Guyana, the Eastern Mediterranean, and the US Gulf of Mexico. This upstream total includes approximately $400 million in capitalised interest, mainly related to assets in Guyana.

Downstream, Carbon, and Corporate Spending

Downstream capital expenditure is expected to be approximately $1 billion, with nearly 75% allocated to US operations. Across the total upstream and downstream budgets, about $1 billion is dedicated to initiatives aimed at lowering the carbon intensity of operations and growing new energy businesses. Corporate and other capital expenditures are projected to be around $600 million.

Affiliate Capital Expenditure

Affiliate capital expenditure for 2026 is expected to be between $1.3 billion and $1.7 billion. Nearly half of this affiliate spending is anticipated to come from Chevron Phillips Chemical Company, supporting the construction of two new world-scale facilities scheduled to start up in 2027. Tengizchevroil's budget is expected to account for approximately one-quarter of the total affiliate capital expenditure.