By Dow Jones Business News, October 09, 2013, 05:38:00 PM EDT
By John Kell
Chevron Corp. ( CVX ) said that its third-quarter global oil and gas production are expected to rise slightly from the
year-ago quarter, though downstream earnings are expected to be "significantly lower."
Chevron, the second-largest U.S. oil company in market value after Exxon Mobil Corp. (XOM), produced 2.6 million
barrels a day of oil and natural gas in July and August, up 2.9% from its production rate in the full third quarter of
The company also warned that while second-quarter earnings included foreign-exchange gains of about $300 million, a
similarly sized loss is anticipated for the third quarter.
Throughout the oil giant's interim report, Chevron compared the first two months of the third quarter to the entire
quarter of the year-earlier period and all of the second quarter of 2013.
Chevron's U.S. production in the first two months of the quarter reached about 651,000 barrels of oil and natural gas
a day, up 2.2% from a year ago but 1.2% below the second quarter.
International production reached 1.94 million barrels a day, 3.1% higher than a year ago and up 0.8% from the second
quarter. International output grew on a sequential basis, primarily due to less turnaround and maintenance activity tied
to several different assets globally.
Realized U.S. oil prices climbed 6.6% from the third quarter of 2012 to an average of $96.73 a barrel, while
international oil prices grew 6.5% to $104.62.
Realized U.S. natural-gas prices averaged $3.30 per thousand cubic feet in the first two months of the quarter, up
from $2.63 in the third quarter of 2012 but down from $3.78 in the second quarter of this year.
Outside the U.S., natural gas prices averaged $5.81 per thousand cubic feet, down from $6.03 a year ago and $5.93 in
the second quarter.
Chevron's refineries processed 1.71 million barrels a day, up from 1.69 million a day in the third quarter of 2012.
U.S. gasoline sales reached 535,000 barrels a day through August, up 3% from last year's third quarter.
Chevron is slated to report full third-quarter results on Nov. 1.
Shares fell 1.3% to $114.63 in after-hours trading.
Write to John Kell at email@example.com
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