Chevron May Expand Middle East Footprint Over Time, CEO Says

Chevron Corp. is open to expanding its Middle East footprint despite the ongoing Iran conflict that has triggered an unprecedented disruption of global energy markets, said Chief Executive Officer Mike Wirth

The second-largest North American oil company has seen the terms on offer from would-be partners improve recently, Wirth said during the Bloomberg Energy Security Executive Briefing in Houston on Friday.

Chevron relies on the Middle East for about 5% of its global output, which is less than some international rival that get 20% or more of their overall production from the region, he said.

Wirth’s comments followed an appearance by US Energy Secretary Chis Wright, who said toughly 7 million barrels of daily oil and fuel shipments are flowigng through the Strait of Hormuz, or about half of the volumes stranded at the start of the conflict.

Those figures excluded several millions barrels that were diverted from the Persian Gulf to alternative ports, Wright noted.

Wright also said the US will fully reopen the waterway with or without Iran’s assistance.

International crude prices fell overnight to the lowest since the early weeks of the Iran war. Bloomberg reported earlier in the day that the US and Iran may sign an agreement to reopen the Strait of Hormuz as soon as next week, citing senior officials.