press release

Chevron Press Release - Chevron And Clark Sign Definitive Agreement for Sale

SAN FRANCISCO, Aug. 18, 1994 -- Chevron U.S.A. Products Co. today announced it had signed a definitive agreement to sell its Port Arthur, Texas, fuels refinery to Clark Refining & Marketing, Inc., headquartered in St. Louis, Mo.

The sale is expected to close in the fourth quarter, subject to Clark's review of environmental, title and labor issues, and approval by appropriate government agencies.

After the sale, Chevron will continue to operate the petrochemical portion of the 180,000 barrel-per-day facility, which is highly integrated with the fuels refinery. The petrochemical facility makes benzene, cumene, ethylene and other chemicals for Chevron Chemical Co. In addition, Chevron U.S.A. will retain its lube oil packaging and distribution center at Port Arthur.

"This is an attractive deal for Chevron's employees and stockholders," said Peter McCrea, vice president of Chevron U.S.A. Products Co. "Clark and Chevron will be entering a long-term relationship, and we are pleased with Clark as a potential business partner."

Two weeks ago, Chevron closed the sale of its 177,000 barrel-per-day Philadelphia refinery to Sun Company, Inc. Chevron is also selling the Port Arthur refinery as part of a strategy to better focus capital and resources where the company's refining and marketing businesses are strongest.

Updated: August 1994