Exploration and Production

Strategy: Grow profitably in core areas and build new legacy positions.

Our upstream business explores for and produces crude oil and natural gas. At the end of 2009, worldwide net oil-equivalent reserves for consolidated operations and affiliated operations were 8.3 and 3.0 billion barrels, respectively. In 2009, net oil-equivalent production averaged 2.7 million barrels per day, including volumes produced from oil sands in Canada. Major producing areas include Angola, Australia, Azerbaijan, Bangladesh, Brazil, Canada, Denmark, Indonesia, Kazakhstan, Nigeria, the Partitioned Zone between Kuwait and Saudi Arabia, Thailand, the United Kingdom, the United States, and Venezuela. Major exploration areas include the U.S. Gulf of Mexico and the offshore areas of northwestern Australia and western Africa, with additional activity in the Gulf of Thailand and the offshore areas of Canada, the United Kingdom, Norway and Brazil.

Gas Strategy: Commercialize our equity gas resource base while growing a high-impact global gas business.

Chevron is engaged in every aspect of the natural gas business – production, liquefaction, shipping, regasification, pipelines, marketing and trading, power generation, and gas-to-liquids. We hold the largest natural gas resource position in Australia through the Gorgon and Wheatstone projects, the Browse Basin, and the North West Shelf Venture. We also have significant natural gas holdings in western Africa, Bangladesh, China, Indonesia, Kazakhstan, North America, the Philippines, South America, Thailand, the United Kingdom and Vietnam.

Refining and Marketing

Strategy: Improve returns and selectively grow with a focus on integrated value creation.

Our downstream operations include refining, fuels and lubricants marketing, supply and trading, and transportation. In 2009, we processed approximately 1.9 million barrels of crude oil per day and averaged approximately 3.3 million barrels per day of refined product sales worldwide. Our most significant areas of operations are the west coast of North America, the U.S. Gulf Coast extending into Latin America, Southeast Asia, South Korea, southern Africa and the United Kingdom. We hold interests in 16 fuel refineries and market under the Chevron, Texaco and Caltex motor fuel and lubricants brands. Products are sold through a network of approximately 22,000 retail stations, including those of affiliated companies.

Renewable Energy

Strategy: Invest in renewable energy technologies and capture profitable positions.

Chevron is the world’s largest producer of geothermal energy, with operations in Indonesia and the Philippines. The company has forged a number of alliances to develop renewable energy, including biofuels from nonfood plant sources. Our subsidiary Chevron Energy Solutions helps internal and external clients improve energy efficiency, conserve energy and utilize alternative power technologies, including solar, fuel cells and biomass.

Other Businesses

Chevron Phillips Chemical Company LLC, a 50-percent owned affiliate, is one of the world’s leading manufacturers of commodity petrochemicals. Chevron Oronite Company LLC develops, manufactures and markets worldwide quality additives that improve the performance of fuels and lubricants. Other businesses include research and technology, mining, and power generation.

Operational Excellence

We define operational excellence as protecting the safety and health of people, safeguarding the environment, and ensuring reliable and efficient operations. We have systematic processes in place that drive our performance and our quest for operational excellence. 2009 was our safest year ever. For the eighth consecutive year, we improved our safety performance, reducing the rate of injuries severe enough to require days away from work by 11 percent, compared with the previous year. Safety is our highest priority, and we will not be satisfied until we have zero incidents – no one injured. Energy efficiency, also a company priority, has improved by 30 percent since 1992, the year we began tracking.

Posted: April 2010

Exploration & Production

Chevron has an exceptionally strong portfolio, with key operations in the world's most important oil and natural gas regions.

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