Is Confidence Coming Back to the Oil Industry?

Is Confidence Coming Back to the Oil Industry?
SGP Crude Medium Pressure Separator, Tengiz Oil Field, Kazakhstan. Courtesy of Chevron
Emel Akan
Emel Akan
Reporter
|Updated:

News Analysis

The huge downturn in oil prices has lead to significant reductions in capital spending by oil companies. Expansion projects have been on hold for the last two years because of unpredictable and volatile prices. However, major oil companies think now the time to invest is now.

Chevron Corp. (NYSE:CVX), Exxon Mobil Corp. (NYSE:XOM), and their two partners announced on July 5 they will proceed with the $37 billion expansion project in the Tengiz oil field in Kazakhstan. This is the largest investment in new production since the collapse of oil prices in June 2014.

Reserve lives could go down substantially if there is no significant upturn in capital expenditures.
— John England, Deloitte
Emel Akan
Emel Akan
Reporter
Emel Akan is a senior White House correspondent for The Epoch Times, where she covers the policies of the Trump administration. Previously, she reported on the Biden administration and the first term of President Trump. Before her journalism career, she worked in investment banking at JPMorgan. She holds an MBA from Georgetown University.
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