Oil major Chevron booked a significant increase in its quarterly earnings and revenues driven by higher oil and gas prices.

Chevron on Friday reported earnings of $6.3 billion for the first quarter of 2022, compared with $1.4 billion in the first quarter of 2021.

Included in the current quarter were pension settlement costs of $66 million. Foreign currency effects decreased earnings by $218 million. Adjusted earnings of $6.5 billion in the first quarter of 2022 compares to adjusted earnings of $1.7 billion in the first quarter of 2021.

Sales and other operating revenues in the first quarter of 2022 were $52 billion, compared to $31 billion in the year-ago period.

Mike Wirth, Chevron’s chairman and chief executive officer, commented: “Chevron is doing its part to grow domestic supply with U.S. oil and gas production up 10 per cent over first quarter last year.”

Wirth continued: “Chevron’s worldwide net oil-equivalent production in the first quarter was 3.06 million barrels per day. Permian Basin unconventional production grew to a record 692,000 barrels of oil equivalent per day in the first quarter, as the company raised its 2022 guidance to 700,000 – 750,000 barrels per day, an increase of over 15 per cent from 2021.”

Meanwhile, Chevron’s international production decreased 8 per cent, while U.S. production increased 10 per cent compared to the same period a year ago.

“Consistent with our plans, we’re investing to grow both traditional and new energy business lines,” Wirth added.

“The company’s capital expenditures during the quarter increased to $2.8 billion, 10 per cent higher than last year. The total of full-year capital spending and announced acquisitions is expected to be more than 50 per cent higher than 2021.”

Chevron’s expenditures for upstream represented 88 per cent of the company-wide total in 2022. Furthermore, cash flow from operations in the first three months of 2022 was $8.1 billion, compared with $4.2 billion in 2021.