The second-largest U.S. oil company announced this past week that it is writing down the value of reserve assets by $10 billion ($11 billion Cdn), as well as restructuring operations, and looking to sell some properties including the planned Kitimat LNG facility to export liquefied natural gas from Canada.

Chevron (CVX) CEO Mike Wirth said management was facing facts: “We have to make the tough choices to high-grade our portfolio and invest in the highest-return projects in the world we see ahead of us, and that’s a different world than the one that lies behind us.”See Chevron, Facing Fossil Fuels Glut, writing down assets:

The sobering reappraisal by Chevron one of the world’s largest and best-performing oil companies is likely to ripple through the oil-and-gas industry, forcing others to publicly reassess the value of their holdings in the face of a global supply glut and growing investor concerns about the long-term future of fossil fuels. Particular pressure is falling on shale producers, especially those focused on natural gas in places like Pennsylvania, which are struggling with historically low U.S. prices caused by oversupply.

Also, see Chevron to take $11 billion charge as it looks to sell stake in LNG project in B.C:

“The strategy to exit Kitimat LNG will mean the divestment not only of plans for the Bish Cove, but also the Pacific Trail Pipeline that is proposed to transport natural gas from the Summit Lake area in the B.C. Interior to Bish Cove…

Royal Dutch Shell PLC-led LNG Canada is building an $18-billion terminal on a Kitimat industrial site that is located on the Haisla’s traditional territory.

In mid-2013, there were more than 20 LNG proposals in British Columbia. Today, only LNG Canada is under construction.”