Chevron CEO Mike Wirth warned at the CERAWeek conference that energy markets fail to price in potential oil supply shocks. He specifically cited the risk of a closure at the Strait of Hormuz.
Wirth stated that forward oil prices do not adequately reflect current market tightness. He noted that recovering from such a disruption would require significant time.
Chevron recently secured new exploration and production agreements in Venezuela alongside Shell. The company also remains a primary beneficiary of rising U.S. LNG export demand.
Chevron's Gorgon and Wheatstone projects serve as critical suppliers for Asian markets. These projects capitalize on supply disruptions occurring in other regions.