press release

Chevron Press Release - Chevron Announces Approval Of Cumene Modernization Project At Port Arthur

PORT ARTHUR, Texas, Dec. 19, 1996 -- Chevron Corporation today announced final approval for a project to modernize Chevron Chemical Company's Port Arthur, Texas, cumene production facility.

The project will increase the cumene capacity of the unit from 450 million pounds to 1 billion pounds per year. Cumene is used to produce phenol and acetone for the manufacture of products such as building materials, carpets, automotive parts, cosmetics, and medicines.

"The approval of this project once again demonstrates Chevron's commitment to our customers, the employees of our plant and to the city of Port Arthur," said Plant Manager Gary Yesavage.

"The modernization of our cumene facility will enable us to produce higher quality cumene more efficiently. The added capacity will not only strengthen our position in the cumene market, but also plays an important role in the facility's long-term stability," added Jim Telljohann, business manager.

The engineering design work for the project is being performed by Bechtel Corporation. The modernized plant will utilize the UOP Q-Max process for cumene production, which uses a regenerable zeolite catalyst that significantly reduces raw material consumption and improves cumene product quality.

The project will create approximately 200 construction jobs and is scheduled to begin this month. The construction contract has been awarded to Brown & Root, Inc. The modernization is targeted for completion in September 1997, to coincide with the start-up of the newly expanded ethylene facility.

Chevron Chemical, headquartered in San Ramon, Calif., is a wholly-owned subsidiary of Chevron Corporation.

Note to Editors:

Q-Max and UOP are trademarks and/or service marks of UOP.

Updated: December 1996