Exxon Mobil (XOM), Occidental Petroleum (OXY), and NextEra Energy (NEE) could be hit by potential federal funding cuts of almost $10 billion for clean energy projects by the US Department of Energy, the Wall Street Journal reported Thursday, citing government officials and department memos.

The proposed reductions would halt government contracts with energy firms building projects using technologies such as hydrogen, carbon capture, and long-duration energy storage, according to the memos seen by the Journal.

Thousands of jobs at the Energy Department are also expected to be abolished, the news outlet reported.

The funding cuts are part of the broader initiative by the Department of Government Efficiency to reduce spending in the US government, according to the report.

The three energy firms did not immediately reply to requests for comment from MT Newswires.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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