The Chief Executive Officer of Chevron Corp, Michael Wirth, announced that the company is expected to grow its free cash flow by $6 billion to $8 billion by 2026, and lower expenses by “a couple billion dollars.”

America’s second-largest oil and gas company is looking forward to achieve these results thanks to the beginning of new or expanded oil production projects in Kazakhstan, growth in U.S. shale and offshore U.S. Gulf of Mexico.

Chevron has forecasted a significant increase in oil production from the Gulf of Mexico, aiming to reach 300,000 barrels per day by 2026, compared to 200,000 barrels per day recorded last year.

In August, Chevron achieved a milestone by producing its first oil from a cutting-edge deepwater field in the U.S. Gulf of Mexico, developed under extreme pressure conditions. The field is projected to peak at 75,000 barrels of oil per day, with Chevron planning to launch two additional offshore projects in the near future.

At the same time, Chevron is working to narrow the competitive gap with Exxon Mobil Corp through the acquisition of Hess Corp.

Hess Corp CEO John Hess expressed strong confidence in the completion of the company's planned $53 billion merger with Chevron. “We’re very confident that the merger is going to go through, and we’re getting prepared for that,” Hess stated during the Goldman Sachs Global Energy, Clean Technologies & Utilities Conference on Tuesday.

A critical arbitration panel is set to rule on Exxon Mobil’s right-of-first-refusal claim concerning Hess’ 30% stake in Guyana’s substantial oil discovery. The hearing is scheduled to begin in May, with a final decision expected by late August or September.

“I think it should be wrapped up by September,” Hess said. “The three arbitrators currently in place have been very clear. That’s when their decision is going to be rendered. And once that’s done, we’ll close our deal.”

Exxon has been attempting to block the merger, arguing that the transaction hinges on whether it constitutes a change of control for Hess’ Guyana subsidiary. Exxon asserts that Hess should have offered it the chance to purchase the 30% stake in Guyana’s valuable oil asset first. Additionally, Exxon claims that Chevron structured the deal to circumvent its right of first refusal if triggered by a change in control within the Guyana operations.