Has anyone else noticed downstream is not transforming, despite being the perennial weak link? Apparently when the CEO learned of the $15 billion TCO cost blowout, he had a blow out. He told Jay and Joe they would wring the equivalent out of their orgs in 2020 as a result.
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You are right about the Korean modules. Local FGP Korea management more concerned about making themselves look good and passing on their mistakes to Operations: typical PRC. The real amount of carry over will be HUGE! Also safety statistics and injuries hidden. Chevron Way values and CPDEP? Not at FGP Korea!p
So far, this rumour has not be realized. In public forums, like Seeking Alpha, there has been buzz about this. One guy (I'll let you all find him) has been publicly vocal about this 9B$ overrun since it was announced at the Q3 call. I guess he looked on the chevron.com site and found out that the EVP for TPS is "responsible for major capital projects" on his bio page and has been on the, at least written, warpath ever since. Can't say I blame him. what's interesting is that, in general, this same individual seems positive about chevron.
Leadership including CEO should be fired for the 10 billion over run at TCO, and this is like a joke under the eyes if Mr Cut spending, TCO went over budget by 10 billion!!!
Modules from Korea are already there. Downstream will get in on this too. Nobody is safe.
Just wait when all the modules on FGP ship from Korea. It will be a disaster. None of the modules have been authenticated by the Kazakh government. Engineering drawings were never sealed by the Kazakh design institute. Chevron will have to pay millions to get these modules through Kazak customs as a result and will not be able to get certificates of operation without huge concessions from the kazak govt. add another 10 billion to the existing 15 billion. Well done PRC and FGP engineering management
Downstream is not a weak link, they are insurance against bad oil prices. Yes the margins are not as far, but they do well compared to other downstream companies.
I’d like to see accountability for the overrun. Someone needs to be let go.
Funny is that they keep saying you told us in CES to simplify and streamline, what about increased pay and benefits, what about holding top management accountable from Girga. To TCO to many many screws up they went through yet filled their pocket with sweet bonuses!! This is c-appy management only thinking about themselves.