Chevron Stock (NYSE:CVX)
In an interview conducted on Thursday with the Financial Times, the Chief Executive Officer of Chevron (NYSE:CVX), Mike Wirth, stated that Western governments have made a global oil and gas shortage worse by “doubling down” on climate policies that make energy markets “more volatile, more unpredictable, and more chaotic.” As a result, investors are keeping an eye on Chevron stock.
According to Wirth’s statements to FT, an effort to shift away from fossil fuels too quickly had resulted in “unintended consequences,” including interruptions in the supply of electricity in Europe and California. As a result, Chevron stock surged in the market.
Wirth noted that annual capital spending on oil and gas projects is now running at roughly half the rate seen in years before the pandemic, even though energy demand has continued to rise. The source of the current energy crunch predated Russia’s invasion of Ukraine and followed years of under-investment in new oil supply.
According to Wirth, the amount of money spent on alternative energy sources to oil and gas is “woefully short, trillions of dollars short.” This disparity “illustrates the risk of moving from a system that keeps the world functioning today aggressively to another system,” which “discourages oil and gas.”
Wirth stated that the administration of Vice President Joe Biden had taken office with a “very clear agenda… to make it more difficult for our industry to deliver energy to our customers.” He also referred to the responses of the White House to the current energy crisis as being “all tactical,” including the consideration of a ban on fuel exports and the release of oil from the Strategic Petroleum Reserve. This caused Chevron stock to rise 4.7% in the market.
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Author Shariq Khan 
