Chevron Corp., the second largest oil company in the United States, has reported a fall of 71 per cent in profits for the second quarter. The company held the lower prices of crude oil and natural gas responsible for the plunge.

Chevron Corp. earned $1.75 billion or 87 cents per share, down from $5.98 billion or $2.90 per share in the same quarter last year.

It is important to note here that company's profits for the April-June quarter were the lowest since 2002.

However, the company is still determined to go on with its major project on the Gulf Coast as well as Africa.

San Ramon-based Chevron, has now plans to hang up its land based drilling operations for natural gas.

Speaking on the topic, George Kirkland, a big shot at Chevron said, "By the end of the year, we will not have a single gas land-rig running."

Chevron said it got $53 per barrel of crude oil and natural gas as compared with $110 in 2008.

Chevron lifted its guidance for production levels and now expects production to increase 5 percent in 2009.

Shares of the company soared 2.6 percent or $1.77 a share to close at $69.47.