U.S. crude prices last week touched their lowest point in nearly
two decades, oil and gas companies are rushing to cut back on
their spending so they can maintain profitability and calm
worried investors about their ability to pay dividends.
Oil major Chevron on Tuesday cut its spending budget by 20% and
also committed to protecting its dividend.
Phillips 66 said it now expects consolidated spending for the
year to be about $3.1 billion, a $700 million reduction from its
"We are taking action to maintain our financial strength to
ensure security of our dividend, execute capital growth projects
that are near completion, and maintain our strong investment
grade credit rating," Phillips 66 Chief Executive Officer Greg
Garland said in a statement.
(Reporting by Shariq Khan in Bengaluru; Editing by Shinjini
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