Chevron’s latest growth targets include tripled investment of $10 billion to lower carbon emissions

The Chevron Corporation pledged to major new energy targets this week, announcing plans to invest $10 billion through 2028 into a variety of clean efforts, more than tripling its previously planned guidance while setting additional growth targets for renewables, hydrogen and carbon capture.

Along with these overall goals, the company set a series of targets for lower carbon businesses as well. These include growing renewable natural gas production to 40,000 metric million British Thermal Units (MMBtu) per day for its heavy duty transport customers, while likewise increasing renewable fuel production capacity to 100,000 barrels per day. The latter will account for growing demand for new kinds of diesel and aviation fuel.

Other efforts will focus on hydrogen production and carbon capture technologies. For the former, Chevron intends to hike production to 150,000 tons per year for its industrial, power and heavy duty transport customers. By integrating more carbon capture through regional hubs, it seeks to offset as much as 25 million tons of carbon emissions per year.

All of these goals have been set for achievement by 2030.

“Renewable fuels, hydrogen and carbon capture target customers such as airlines, transport companies and industrial producers,” Jeff Gustavson, president of Chevron New Energies, said. “These sectors of the economy are not easily electrified, and customers are seeking lower carbon fuels and other solutions to reduce carbon emissions.”

During its Energy Transition Spotlight, the company also reaffirmed its devotion to 2028 upstream production greenhouse gas intensity targets, ingraining a 35 percent reduction aim when compared to 2016 levels.

“With the anticipated strong cash generation of our base business, we expect to grow our dividend, buy back shares and invest in lower carbon businesses,” Michael Wirth, Chevron’s chairman and CEO, said. The company’s cash generation is expected to hit $25 billion above its dividend and capital spending over the next five years. “We believe a strategy that combines a high return, lower carbon traditional business with faster growing, profitable new energy positions us to deliver long-term value to our shareholders.”