Chevron CEO Warns Depleted Buffers Risk Higher Prices

Chevron CEO Mike Wirth warned that global oil-market buffers, including commercial inventories, strategic reserves and other emergency measures, have largely been depleted after cushioning the initial effects of the Iran conflict. He said it is increasingly difficult to expect prices to decline quickly and that risks remain tilted higher in the coming months, as supply disruptions from the conflict and Ukrainian attacks on Russian refineries continue. Brent crude has risen sharply and moved above $100 a barrel, while the U.S. average diesel price has exceeded $6 per gallon for the first time. Chevron also plans to invest $7 billion to expand its Venezuelan operations, funding the project with cash generated by its existing ventures there.