Chevron Announces Plans to Construct Base Oil Manufacturing Facility in Pascagoula, Miss.
PASCAGOULA, Miss., August 21, 2008 – Chevron Corporation (NYSE: CVX) today announced that it has submitted an environmental permit application to the Mississippi Department of Environmental Quality for the construction of a premium base oil facility at the company's Pascagoula refinery. The facility is expected to produce approximately 25,000 barrels per day of premium base oil for use in manufacturing high-performance lubricants, such as motor oils for consumer and commercial uses. Construction is anticipated to begin in early 2009 and conclude in 2011.
"Subject to obtaining the required permits and making a final investment decision, it is our intention to build this state-of-the art facility at Pascagoula," said Dale Walsh, president, Chevron Global Lubricants. "Demand for premium base oils is increasing in the U.S. and around the world. These oils are the primary ingredients in the production of top-tier motor oils needed to improve fuel economy, lower tail-pipe emissions and extend the period between oil changes."
Added Walsh, "Chevron was the first company to produce and market premium base oil. With additional manufacturing from the Pascagoula facility, Chevron would become the world's largest producer of this product."
"This project represents another significant Chevron investment in Mississippi," said Roland Kell, general manager, Pascagoula refinery. "We have the expertise and resources necessary to plan, build and safely operate projects of this magnitude."
The base oil facility would utilize Chevron's revolutionary ISODEWAXING® technology. Commercialized in 1993, ISODEWAXING® results in higher yields and enables a broader range of crude oil feedstocks to be used in the manufacturing of base oils. More than two thirds of the world's premium base oil is manufactured with this technology.
Chevron Corporation is one of the world's leading integrated energy companies, with subsidiaries that conduct business across the globe. The company's success is driven by the ingenuity and commitment of approximately 59,000 employees who operate across the energy spectrum. Chevron explores for, produces and transports crude oil and natural gas; refines, markets and distributes transportation fuels and other energy products; manufactures and sells petrochemical products; generates power and produces geothermal energy; provides energy efficiency solutions; and develops and commercializes the energy resources of the future, including biofuels and other renewables. Chevron is based in San Ramon, Calif. More information about Chevron is available at www.chevron.com.
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Some of the items discussed in this press release are forward-looking statements about Chevron's activities in the United States. Words such as "anticipates," "expects," "intends," "plans," "targets," "projects," "believes," "seeks," "estimates" and similar expressions are intended to identify such forward- looking statements. The statements are based upon management's current expectations, estimates and projections; are not guarantees of future performance; and are subject to certain risks, uncertainties and other factors, some of which are beyond the company's control and are difficult to predict. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Unless legally required, Chevron undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.
Updated: August 2008