Our history in the Kingdom of Saudi Arabia began in the early 1930s when Standard Oil of California – later Chevron – began exploring in the Eastern Province of the kingdom. In 1936, The Texas Co. – later Texaco – joined in as a partner in the California Arabian Standard Oil Company (CASOC), which in 1944 became Arabian American Oil Company, or Aramco.
In 1938, CASOC made Saudi Arabia's first commercial oil discovery at Dammam Dome No. 7. Before it was 50 days old, the well had produced 100,000 barrels. Continued probes led to the discovery of 52 oil fields, including Ghawar in 1948, still the world's largest oil field, at an estimated remaining 66 billion barrels of reserves.
Additional partners joined Aramco in 1948. In 1973, Aramco started selling ownership to the government of Saudi Arabia. By 1989, the process of transferring ownership of Aramco to the Saudi government was complete, marking the beginning of Saudi Aramco.
Texaco, which merged with Chevron in 2001, began its operations in the onshore Partitioned Neutral Zone (PNZ) when it acquired Getty Oil Co. in 1984. In late 2004, total production reached 3 billion barrels.
In 2000, Chevron Phillips Chemical Company LLC and private Saudi investors opened Saudi Chevron Phillips Co. The venture's petrochemical plant at Al Jubail is the kingdom's first privately financed basic petrochemical enterprise. A second company, Jubail Chevron Phillips, was formed in 2003 to construct another petrochemical facility adjacent to the first plant.
In 2005, the Chevron AlBakri Lubricants Company, a joint venture, was established.
Health, Environment and Safety
Chevron is committed to improving the lives of all its employees and enriching their communities. For example, the company's hospital and field clinic for PNZ operations recorded 20,000 visits by employees, their families and other community members in 2008.
Creating a safe work environment in the PNZ is a top priority. At year-end 2008, employees of Chevron's subsidiary in the PNZ at Mina Saud and Wafra had logged more than 11 million work-hours, over the course of more than eight years, without a lost-time incident. Workers also had logged more than 10.5 million work-hours without a recordable work-related injury.
Economy
Texaco was the first major oil company to enter a downstream relationship with the kingdom, and today Chevron continues to be an important purchaser of Saudi crude.
Chevron is implementing balanced strategies with the objective of placing the right Saudis in the right jobs and at the right time.
The company provides resources and education, training and development opportunities for national employees at all levels. Nearly 90 percent of the more than 720 PNZ employees are Saudi nationals, and many hold jobs at the highest levels of management.
Cutting-edge applications of the industry's latest processes flow easily across Chevron's worldwide operations, linking, for example, national employees in the PNZ with specialists in Houston, Texas.
Employee development programs focus on improving job performance and leadership skills. In 2008, employees averaged nearly 90 hours – more than two workweeks – of formal training. Advanced workshops, rotational assignments, mentoring and feedback sessions further contribute to developing future leaders.
Technology Transfer
Saudi International Services Company, a joint venture with former Aramco partners, supplies Saudi Aramco with technology and technical services. Through the venture, Chevron lends to and exchanges with Saudi Aramco technical and professional employees, arranges training in the United States for Saudi Aramco employees, and participates in technical exchange meetings at regular intervals.
Updated: May 2009