1 Chevron Corp. reduced its budget for the Tengiz oil field in Kazakhstan for the second time in less than a year, cutting planned spending by about 90 percent, The Wall Street Journal reported Monday.
2 San Francisco-based Chevron scaled back its construction and development budget to dlrs 50 million from as much as dlrs 500 million, the paper said.
3 But the company said, despite these cuts, it still intended to spend dlrs 20 billion on the project over 40 years.
4 Chevron vice-president Espy Price told the paper the construction delay, which would be until at least 1996, was a result of lower than anticipated revenue from the project.
5 Production at the 200-square-mile (500 square kilometer) field, which was thought to be a major site for oil investments in Russia and the former Soviet republic, has also fallen below the level Chevron had estimated, the paper said.
6 After investing dlrs 1 billion in Tengiz, Chevron projected production at 130,000 barrels a day by 1995 and 260,000 by 1998. But the company is only producing about 65,000 barrels a day, the paper said.
7 Production is hampered by Russia's refusal to increase the number of shipments through its pipeline system to the Black Sea port of Novorossiysk, the paper said.
8 Last May, Chevron made its first cuts, deferring what the company called nonessential work.

Chevron vice - president Espy Price told the paper the construction delay , which would be until at least 1996 , was a result of lower than anticipated revenue from the project .
lower than anticipated revenue
What was the expected revenue? What is being done to increase revenue to keep the project going?