CVX
#I will take the deepwater question first.
Just to put it in context, we are already producing about 140,000 barrels a day in the Gulf of Mexico in the deepwater and we do that through five operated assets and four non-operated assets.
We are also the largest leaseholder in the Gulf.
So in the near-term with that footprint, we do see many brownfield deepwater opportunities.
In fact, 80% of our spend ---+ development spend ---+ over the next few years is going to be geared towards brownfield development such as Jack/St.
Malo and Tahiti where we actually have good economics.
We have already said the single well breakeven is typically in the $20 to $40 Brent range.
We have also demonstrated tremendous improvement in drilling and completion efficiency so we continue to bring the cost equation down.
Now if we are talking about new greenfield development, we've got a few things that need to happen there.
Obviously we need scale in the resource but we also need to rethink about how we bring our development.
We talked before about optimizing our development concept where we could be trading lower plateau and maybe NPV for greater capital efficiencies.
And this is another place where we actually need our suppliers.
We need to work closely with them to continue to drive the cost down.
This is an important area for us to be good at and we are committed to do that.
Now in terms of how does the Permian compete.
We can't just be a Permian company.
We have a lot of other places where actually we have good resources.
We talked about Tengiz, we talked about Thailand, we talked about Indonesia.
Australia is going to give us those opportunities.
So yes, while the Permian give us tremendous advantage, the size of our Company will require us to actually be broader and to put our capital in places where we can get good economics but not to be solely a one asset class company.
I will start with Wheatstone.
We are still operating under the same funding appropriation which we have communicated to you previously.
We do acknowledge we have seen cost pressures but at the same time these have been offset by favorable foreign exchange.
We are working very hard to mitigate those cost pressures.
Earlier this week we had a good review of that project and we are very encouraged by the progress.
I alluded to that in my prepared remarks.
So the progress we make over the next eight to 12 months will be very important in terms of where we are going to end up but for now, there is really no reason to change our view on the cost.
AAgain, Wheatstone is a huge resource base for us and it is very important to deliver it.
Now in terms of Gorgon, we have seen cost pressures in Gorgon but at the moment really we are not going to change the cost estimate that we have provided previously.
A piece of that obviously is coming from asset sale divestitures if you are looking at first quarter to first quarter.
A significant piece of Gulf of Mexico multiple asset divestments occurred.
Is the question about Bigfoot.
There is no change from the prior guidance we gave and that is the second half of 2018.
It looks like that concludes the lineup of questioners.
So thank you very much.
I want to thank everybody for their time today.
We appreciate your interest in Chevron and appreciate your participation.
Jonathan, I will turn it back to you.
