What drove CVX's strong earnings growth in Q3 2024?

Chevron's strong earnings growth in Q3 2024 can be attributed to several key factors:

1. **Acquisition of Hess**: The pending acquisition of Hess Corporation is a significant factor. Although the merger has not yet closed, the acquisition is expected to add to Chevron's already robust portfolio of energy assets, particularly in Guyana, where Chevron will enhance its asset portfolio.
2. **Production Increases**: Chevron's worldwide net oil-equivalent production increased by 11.2% to 3,292,000 barrels per day, mainly due to the acquisition of PDC and strong performance in the Permian and DJ Basins in the US.
3. **Revenue Growth**: There was a slight increase in revenues, reaching $51.18 billion in Q4 2024, up from $48.89 billion in the same quarter of the previous year. This increase was driven by higher oil prices and increased production.
4. **Cost Management**: Chevron's capital expenditure in Q2 2024 was higher than the previous year, largely due to increased investments in upstream operations, including spending on legacy PDC assets. This indicates a focus on growing its oil and gas business with a lower carbon footprint and expanding into renewable fuels, carbon capture, hydrogen, and other emerging low-carbon technologies.

In conclusion, Chevron's strong earnings growth in Q3 2024 is driven by a combination of factors including the acquisition of Hess, production increases, revenue growth and cost management. These factors are likely to contribute to the company's continued success in the energy sector.