The headline number was good: Chevron boosted earnings 82% in 2010. Better refining margins and higher crude prices drove profits at the second biggest U.S. oil company. What's not so good: Chevron only managed to replace a quarter of the oil and gas it pumped out of the ground.
Last year marked Chevron's lowest reserve-replacement ratio in almost a decade, and put it far below the industry goal of replacing 100% of reserves every year. CEO John Watson is following his predecessor's moves to increase production but is running into trouble finding new projects.