Exxon Mobil and Chevron have both reported rising profits in the first quarter of this year. Exxon’s profits rose even though its oil and natural-gas production fell by 4% from a year earlier, according to the Texas-based group.

Exxon said that it “cut capital and exploration expenditures in the first quarter by 19% — to $4.2 billion”.

Profits from Exxon’s overseas production rose by $1.51 billion, “offsetting a loss from US wells”. Its crude output in the USA increased by 2.6% during the quarter, as oil production fell in every other region of the world, and its cash balance was up 32% to $4.9 billion.

Exxon CEO Darren Woods said that the company is “focusing on prospects in places as diverse as offshore Guyana and the New Mexico desert to replenish reserves”.

Mr Woods’ predecessor — Rex Tillerson — left the company in January to become US Secretary of State.

Meanwhile, Chevron reported operating expenses down by 14% and said that its “drilling outlays were down by 30% during the first quarter of 2017”.

However, it saw a profit of $2.68 billion, compared with a loss of $725 million a year earlier.

CEO John Watson said that he “vows to cut spending by 15% this year to cope with the lingering cash-flow impacts of the worst oil-market crash in a generation”.

He added: “We are devoting 75% of our 2017 drilling budget to US shale fields and other projects that will generate cash within two years.

“That’s a titanic shift for a group renowned for our proficiency in constructing massive, intricate crude and gas projects that produce for decades.”