Chevron Corporation (NYSE:CVX) boss John Watson announced that he will be stepping down as company CEO.
The oil giant’s boss announced that he will leaving his post as boss after seven years with the company. It is unclear who will be replacing Watson, but Michael Wirth is being rumored to be at the top of the list.
Wirth has been with Chevron for decades — joining in 1982 — and he was promoted to vice chairman of the board of directors in January. The 56-year-old is also executive vice president of Midstream and Development for Chevron Corporation, a role he first undertook in 2016.
Spokesperson Kent Robertson has declined to comment on the matter. Watson has been unable to adequately deal with the crude oil price downturn of the last few years, hurting dividends and the company’s cash flow.
Chevron last unveiled earnings on July 28, where it posted second-quarter results that topped expectations and were considerably higher compared to the year-ago period. Earnings amounted to $1.2 billion, while revenue came in at $34.48 billion.
Cash flow generated by its operations more than doubled year-over-year to $8.9 billion. Nevertheless, Watson has had to cut a number of jobs and cancelled some potentially lucrative projects, reducing Chevron’s market value by more than $50 billion.
The company has been expanding its focus and operations in East Asia and Latin America.
CVX stock surged 0.5% Tuesday.
