Chevron moving headquarters from California to Texas to be a in more fossil fuel friendly state
TLDR
- Chevron has been in California for 145 years, since its founding (as Standard Oil) in 1870s

- Move sparked by California's policies favoring clean energy and penalising gasoline. State has decided to ban gasoline cars completely from 2035

- California also risks Chevron ceasing ops at its 2 oil refineries in California

- Already California has higher gas prices than other states. Demand for gasoline is also low due to high EV sales (25% of all new cars) and work from home

- Chevron follows moves by Tesla, SpaceX, Oracle and Hewlett Packard from California to Texas.

Full article: https://calmatters.org/commentary/2024/08/chevron-corporate-jobs-california/
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1 month ago by kevinscott
25 Reply

All oil companies should leave California, close every gas station they own in the state and refuse to provide any supply to independent stations. Californians have voted for leadership that is leading them to this outcome so they should be pleased as it comes to fruition.
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1 month ago by yukisato

This comment makes me think you don't understand how capitalism works. Abandoning the country's richest state because you don't like its elected officials is not something that would ever happen in the real world.
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1 month ago by justintaylor

I hardly think it's about not liking the leaders. I would argue that oil companies, the majority of which are publicly held entities, would be simply managing risk and protecting their shareholders by abandoning the state. A straight forward risk/reward calculation. California leaders have made it clear their intent to litigate oil companies into bankruptcy.
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1 month ago by danielkang

CA is flush with oil but instead of producing it locally, we import it from countries that hate the U.S and have no environmental protections or labor laws. Way to go Dems.
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1 month ago by chadwatson

The energy giant sank the state’s first successful oil well, kicking off a boom that powered California’s economy for more than a century . . . then California turned into Greta Thunberg.
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1 month ago by danielleallen

"Greta Thunberg" part was quite funny
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1 month ago by kellystewart

Asking oil companies to pay for fire losses is insane. But then again, CA has been off its rocker for some time now.
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1 month ago by danielkang

This is what California voters want and this is what they will get. Higher and higher prices for everything with no benefit to the climate.
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1 month ago by joshuayoung

Another week, another company leaving California, one of the most business in-hospitable states in the union.

Far easier to just relocate to a state that will appreciate your contribution to the state.
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1 month ago by valentinatorres

People deserve the government they elect and the bad policies that come with it. When all the refineries in California close and gas is $10/gallon, they will have no one to blame but themselves. But, Newsom will have plenty of hair gel, so that’s something they can be happy about.
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1 month ago by lindsaycoleman

Any other state would never let Chevron leave and would do everything they could to keep refineries running.....Not California. I'm laughing because everyone knows they'll let it happen. The fires displayed the Dems supreme incompetence, but they'll still vote for them in the next election. Get ready for $6 gas in Cali.
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1 month ago by tiffanyross

Nevada gets most of their gasoline from CA. NV needs to come up with a plan or build a refinery in state.
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1 month ago by priyasharma

Companies are not “leaving” California, they are being “driven” out of California by the loony liberals who continue to raise taxes (both corporate and personal) and blaming everyone else for their mistakes and blunders.
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1 month ago by megandavis

I guess the meaning of “killing the goose that lays golden eggs” has been lost on them.
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1 month ago by yukisato

Chevron is making a rational business decision. California's day of reckoning for foolish, virtue signaling policies is coming. I have family there and I feel sorry for them. Oh well.
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1 month ago by jenniferparker

When Newsom flips the $9M mansion he just bought, for say $12M at the end of his term, even he might flee to Florida, as his in-laws did.
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1 month ago by minhtran

The longer Chevron and similar companies remain in Ca, the more exposed they become to the socialist Dems that control the state, and to liability for any and all the results of the policies of the socialist .

Newsome has already set in motion the process for thousands of legal actions against the companies. Even if they win (unlikely given the courts in Ca), the legal costs (within the Ca courts and the appeals all the way to SOTUS) will probably exceed any profits they could glean from maintaining business (especially refineries) in Ca.

Chevron may have a large "write off" closing the refineries, but the longer they wait, the more they will pay in fines and court settlements. Cut the losses now, they will only grow larger.

As to selling the refineries, no one is likely to want to take on the liability. Close the plant, clean up as much as possible, then donate the land to the local govt, a charity, or a similar group.

The irony, of course, is that Newsome and his socialist Dems will "win" in that without gas, the citizens will be forced to buy electric cars, electric lawnmowers, leaf blowers, etc. But, when they get their electric bills (provided there is electricity), their celebration may wilt and as the price of everything rises, there may indeed be a time when the citizens rise against the socialist, or so many leave, that only the wealthy remain.
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1 month ago by andrewthomas

California doesn't have even close to enough power sources to provide enough electricity to go all electric. They would face constant brown- and black-outs.
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1 month ago by derekjames

Wild fires cause climate change in California, yet Democrats don't seem to care.
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1 month ago by hanachoi

Why doesn’t California post a transparent label on the pumps showing the exact cost of gas and Diesel and all fees without any deception. Come on Newsom, I double dare you to. Hiring a panel to oversee Chevron is an obvious distraction and diversion of the facts and more waste of taxpayers money.

Newsom hated PG&E to when he first got elected he said he had friends in SF that would buy them out. But when the grid started to fail they were his friend, ready to loan them over $1b to keep Diablo and of course Helms up and running. Now his darling battery storage facility in Moss Landing went up in smoke. I would like to see one thing he has done right. Maybe the coastal voters will wakeup.
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1 month ago by priyasharma

I have not visited California on vacation since 1994, and on business since 1999. It is the last place in the US I would ever visit and spend my money in.
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1 month ago by alejandrosilva

Newsom responded in an online video accusing Big Oil of price gouging consumers

Chevron follows moves by Tesla, SpaceX, Oracle and Hewlett Packard from California to Texas."

The destructiveness of progressive policies are really hard to understate. California is truly the most blessed of US states are far as natural resources, location, and people. And yet, even with all this going for it, progressives are managing to destroy it. It is almost becoming biblical in proportion.
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1 month ago by jenniferparker

It really makes you wonder - what would be the one-time hit if you just closed and decommissioned each refinery and shut down every branded gas station you own vs. continuing to do business with a "partner" that clearly wants to milk you for everything you have? A huge impairment loss might be a good thing in the long run.
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1 month ago by stephaniehall

The environmental cleanup of all those facilities would be made astronomical by the regulators.

Their one saving grace would be if the state takes over the refinery(s) instead of letting them close to avoid shortages.
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1 month ago by patrickadams

That’s it! Let the government do it. Just like Venezuela.
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1 month ago by priyasharma