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Tuesday, March 10, 2015

Chevron to boost asset sales as sticks by outlook amid cheap oil, (VAN: RPC.V)

Chevron Corp boosted its asset sales plans by 50 percent to $15 billion by 2017 and trimmed spending to generate more cash as the second-largest U.S. oil company reaffirmed plans to raise production 20 percent despite a plunge in crude prices. The company also stressed its dividend will continue to grow, executives said as part of a presentation on Tuesday designed to show Wall Street that Chevron can thrive despite a more-than 50 percent drop in oil prices since last June."We're quite sober about (oil) prices in 2015," Chief Executive John Watson said at the company's annual investor day in New York. "We know we have to manage costs both in the short-term and the long-term environments."In a blunt message to oilfield service providers, Chevron's Jay Johnson, who is set to become the company's upstream portfolio chief upon Vice Chairman George Kirkland's retirement later this year, warned that unless costs come down, "we will re-bid contracts."Despite cheap oil, the company's five main growth projects, including two major liquefied natural gas expansions in Australia, should lift daily output to 3.1 million barrels of oil equivalent by 2017, executives said, reaffirming an outlook set last year. For 2015, Chevron expects daily output of 2.57 million boepd.

Raise Production Inc. is a Canada-based company engaged in providing engineering services. Shares of RPC fell by 13.64% or $-0.09/share to $0.57. In the past year, the shares have traded as low as $0.46 and as high as $3.50. On average, 88535 shares of RPC.V exchange hands on a given day and today's volume is recorded at 147410.