press release

Chevron Announces Preferred Site for Wheatstone Project

PERTH, Australia, 19 DEC., 2008 - A subsidiary of Chevron Corp. (NYSE: CVX), Chevron Australia Pty Ltd today announced Ashburton North, on the mainland of Western Australia, as its preferred site to locate the Wheatstone liquefied natural gas (LNG) and domestic gas project.

Chevron, which has a 100 percent interest and is operator of the Wheatstone Project, selected Ashburton North as the preferred site after a screening and public consultation process which considered a broad range of environmental, social and engineering factors. The site is 12 kilometres west of the town of Onslow in the western Pilbara region and about 200 km south of the Wheatstone natural gas field.

The Western Australian Government has committed to reserving land at Ashburton North for Chevron to further investigate the feasibility of developing proposed LNG and domestic gas processing plants.

Chevron Australia Managing Director, Roy Krzywosinski said, "We have made good progress on the Wheatstone opportunity this year and plan to move into front-end engineering and design in 2009. This is an important step along the project development path and we look forward to the full support and encouragement of governments as we seek to develop the Wheatstone Project in this competitive global LNG market."

Chevron is seeking approval for a 25 million tonne per annum (mtpa) LNG and domestic gas plant complex, along with associated offshore infrastructure. The initial development consists of two LNG processing trains with a nominal capacity of 5 mtpa each. A separate, but co-located domestic gas plant designed to initially process up to 250 million standard cubic feet per day is included as part of the development plan.

Krzywosinski added, "The Wheatstone Project is set to be one of Australia's largest resource projects offering significant economic benefits including employment, government revenue, and local business opportunities. In addition, Wheatstone will be a source of natural gas supply — the cleanest of the fossil fuels — for decades to come.

"Chevron intends to work with gas resource owners in the Carnarvon Basin to attract additional gas to the Wheatstone Project, as well as continuing to consult key government and community groups," said Krzywosinski.

Chevron will continue its consultation with the Onslow community, Thalanyji People, Ashburton Shire, Pilbara regional bodies, various government agencies and environmental stakeholders.

Through its Australian subsidiary, Chevron has been present in Australia for more than 50 years. It operates the planned Gorgon and Wheatstone Projects, the Barrow Island and Thevenard Island oilfields and is a foundation partner in the North West Shelf Venture (natural gas, crude oil and condensate) and in the Browse LNG development. Chevron Australia is a significant investor in offshore north-western Australia exploration, one of Chevron's four global focus areas for exploration.

Cautionary Statement Relevant to Forward-Looking Information for the Purpose of "Safe Harbor" Provisions of the Private Securities Litigation Reform Act of 1995.

Some of the items discussed in this press release are forward-looking statements about Chevron's activities in Australia. Words such as "anticipates," "expects," "intends," "plans," "targets," "projects," "believes," "seeks," "estimates," "budgets" 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. Among the factors that could cause actual results to differ materially are changes in prices of, demand for and supply of crude oil and natural gas; actions of competitors; timely development of the field; the potential disruption or interruption of production and development activities due to war, accidents, political events, civil unrest, or severe weather; government-mandated sales, divestitures, recapitalizations and changes in fiscal terms or restrictions on scope of company operations; and general economic and political conditions. 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: December 2008