Chevron Corporation (NYSE:CVX) disclosed that it had begun oil and natural gas production from the Anchor project in the deepwater U.S. Gulf of Mexico.

Chevron, via its subsidiary, operates the Anchor project with a 62.86% working interest, and TotalEnergies E&P USA, Inc. holds a 37.14% working interest.

This milestone features high-pressure technology capable of operating at up to 20,000 psi, with reservoir depths reaching 34,000 feet below sea level.

The Anchor semi-submersible floating production unit (FPU) has a design capacity of 75,000 barrels of oil and 28 million cubic feet of natural gas per day.

It will include seven subsea wells in the Green Canyon area, about 140 miles off Louisiana's coast in 5,000 feet of water. The field is estimated to hold up to 440 million barrels of oil equivalent in recoverable resources.

The Anchor FPU is Chevron's sixth operated facility in the U.S. Gulf of Mexico, a basin with some of the lowest carbon intensity in the world.

Chevron's facilities in the region are projected to produce a combined 300,000 net barrels of oil equivalent per day by 2026.

The Anchor FPU is an all-electric facility designed to reduce carbon emissions and employs electric motors, waste heat and vapor recovery units, and uses existing pipelines to transport oil and gas directly to U.S. Gulf Coast markets.

This month, Chevron reported second-quarter revenue of $51.181 billion, which topped estimates but adjusted EPS of $2.55, which missed the $2.93 consensus.

Investors can gain exposure to the stock via EA Series Trust Strive U.S. Energy ETF (NYSE:DRLL) and SPDR Select Sector Fund – Energy Select Sector (NYSE:XLE).

Price Action: CVX shares are down 0.24% at $144.64 at the last check Monday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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