Investing.com -- After reporting solid Q1 results, Chevron Corp (NYSE:CVX) highlighted strategic progress across its operations while reaffirming confidence in its $53 billion acquisition of Hess Corporation (NYSE:HES). CEO Mike Wirth told Bloomberg Television the company is fully prepared to integrate Hess “very quickly” once it clears an arbitration case with Exxon Mobil Corp (NYSE:XOM), which claims a right of first refusal over Hess’s stake in Guyana’s massive oil field.
“We feel very confident,” Wirth said, referring to the case, with a decision expected within three months of a hearing scheduled for late May. Integration teams from Chevron and Hess have been working closely, and Wirth said the company could begin integration “within days” of the deal’s close.
Q1 earnings of $2.18 per share were above analyst expectations, but the result marked a decline from $2.93 a year ago as downstream margins and affiliate performance dragged. Revenue of $47.6 billion missed expectations, while operating cash flow dropped to $5.2 billion.
On the company’s earnings call, analysts asked about progress at Tengizchevroil, where Chevron brought its Future Growth Project online faster than expected. Wirth praised commissioning performance, saying the project reached nameplate capacity in under 30 days and is now generating reliable volumes and strong government engagement.
Chevron has also begun discussions with Kazakh officials to extend the TCO concession past 2033. “There was mutual intent expressed to negotiate an agreement,” Wirth said, calling his recent visit to the region “very positive.”
The company addressed investor questions on capital allocation, reducing its Q2 share repurchase guidance to $2.5 to $3 billion while maintaining its full-year target range between $10 billion and $20 billion. “We do not intend to yo-yo this,” Wirth said, positioning the pullback as a response to lower commodity prices and a way to preserve balance sheet strength.
Another key topic was Chevron’s ongoing investment in power projects tied to U.S. AI infrastructure demand. The company has spent roughly $400 million on related ventures and expects to make a final investment decision later this year. “We’re in a first-mover position,” Wirth said, noting strong customer interest and the firm’s ability to move quickly on turbine installation and site development.
Chevron is also seeing strong well performance in the Delaware Basin and highlighted operational milestones at deepwater sites such as Ballymore and Anchor in the Gulf of Mexico. Wirth said the company is executing against a capital-efficient growth strategy that emphasizes high-return, short-cycle projects.
Despite near-term softness, Chevron’s leadership said it remains focused on long-term shareholder returns and is well positioned to navigate volatility. “We’ve been through these cycles before. We know what to do,” Wirth said.