Chevron (CVX) Offers Rival Drillers Chemical Technology to Increase Shale Oil Output, Reuters Reports

Chevron Corporation (NYSE:CVX) is one of the top cheap blue chip stocks to buy according to Wall Street analysts. Reuters reported on July 8 that Chevron Corporation (NYSE:CVX) announced on Wednesday that it will allow rival oil producers to purchase a chemical technology it developed to boost production from shale wells. The decision came as part of a broader push to raise U.S. oil output, with the company adding that it will license its chemical surfactants technology to chemicals manufacturer ZL Chemicals, which will oversee the sales process to other oil companies.

Chevron Corporation (NYSE:CVX) further stated that the chemicals being licensed to ZL have improved production from newly drilled wells by up to 20% during ⁠the first year, while also reducing production decline in existing wells by between 5% and 8%.

Ryder ​Booth, Chevron Corporation’s (NYSE:CVX) Chief Technology and Engineering Officer, stated in an interview that with “constraints on energy in ​the world today, there’s a call on oil and gas companies to get more energy to market”, adding that this is a way “that we can answer the call to help boost production”.

Chevron Corporation (NYSE:CVX) provides oil and gas energy solutions, including crude oil and natural gas, the manufacture of transportation fuels, petrochemicals, lubricants, and additives, and the development of technologies that boost business and the industry. Its operations are divided into the Upstream and Downstream segments.

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