With the new year revealing the opportunities for growth and substantial returns on investments for energy company shareholders, the time has come for the plethora of energy companies to outline their capital expenditure plans for the year ahead. Chevron, one of the largest US-based energy companies with significant assets around the world, has recently announced its 2026 US spending plan, along with its spending budget for the international market as well.
Can Chevron deliver a substantial return for its millions of shareholders in 2026?
One must remember that the energy industry is still a business after all, and businesses need to make money to survive. Every year, companies in the global energy marketplace outline their planned capital investments for the year ahead to provide investors and shareholders with an expectation of what returns they may be in for.
Chevron has become one of the largest energy companies in the world through its nearly 150-year lifespan, and has delivered substantial returns on investments for shareholders. The remarkable growth of the US energy market over the past year has seen several energy companies increase investments in upstream developments that will benefit from the US energy expansion this year.
Chevron is planning a sizable investment in its upstream activities in the United States
From its base of operations in Houston, Chevron has recently outlined its 2026 capex budget. The company has announced an organic capital expenditure range of between $18 to $19 billion earmarked for its consolidated subsidiaries for this year. The company has also stated that the low-end of the long-term guidance ranges between $18 to $21 billion, with affiliate capex expected to come in at between $1.3 to $1.7 billion.
“Our 2026 capital program focuses on the highest-return opportunities while maintaining discipline and improving efficiency, enabling us to grow cash flow and earnings,” said Chevron Chairman and CEO Mike Wirth
Can Chevron focus its capex spending on the upstream market in the US?
The noticeable difference in the company’s capex spending in the domestic market compared to its international plans has been huge, to say the least. For an energy company that boasts a wide range of international energy developments, Chevron is committing to the US upstream market in 2026.
In its latest 2026 capex report, Chevron is anticipating spending approximately $10.5 billion on the US upstream market, which is more than half of the indicated 2026 capex budget. Almost $6 billion is earmarked for the company’s US shale and tight assets, which include several prolific regions in the US. This underpins the expected US production of over two million barrels of oil equivalent per day.
“We’re positioned to deliver superior shareholder returns while advancing investments that strengthen long-term value.” – Chevron Chairman and CEO Mike Wirth
Chevron’s portfolio now includes significant developments outside the United States
With the company’s 2026 capex budget outlined, Chevron is aiming to build on its upward trajectory outside the US as well this year. Chevron has recently signed off on an expansion of the Leviathan gas field offshore Israel, positioning it as a major upstream growth driver for the international sector. Building a company with substantial dividends for shareholders is a top priority for Chevron, it would appear.
“Being a Dividend Aristocrat, Chevron has consistently raised its dividends for 38 consecutive years.” — Yahoo Finance
Can Chevron lead the new era of upstream growth in the US?
With the company outlining its 2026 capex budget, it is expecting to pour vast amounts of resources to expand domestic energy production in the United States this year. Chevron will be working diligently to advance several projects in 2026 that will position the company at the forefront of the US upstream expansion over the coming years and decades, if all goes according to plan that is.
