press release

Chevron Press Release - Chevron Assumes Operations For Venezuela's Boscan Oil Field

SAN FRANCISCO, July 1, 1996 -- Today Chevron officially became operator of Venezuela's Boscan field, assuming responsibility for all operations and increased development of the giant heavy-oil field, as outlined in the Chevron-Maraven alliance. Through its new role as a service contractor, Chevron becomes the largest private oil field operator in Venezuela.

Chevron plans to operate the field for the next 20 to 30 years, and anticipates a long-term investment of (U.S.) $2 billion. Within the next three years, Boscan production is expected to rise nearly 50 percent to 115,000 barrels a day from the current 80,000-barrel-per-day level. Independent studies confirm the field contains 1.6 billion barrels of proven reserves.

The Chevron-Maraven alliance is a unique global, integrated project through which Chevron operates the Boscan field and Maraven supplies several Venezuelan crudes for Chevron's refinery at Pascagoula, Miss., and for Chevron's asphplants in Perth Amboy, N.J., Portland, Ore., and Richmond Beach, Wash.

Note to Editors:

Chevron began operations in Venezuela in 1921, and discovered the Boscan field in 1946. The company continued operations in the country until 1976 when the oil industry was nationalized by the Venezuelan government. The Chevron-Maraven alliance was signed in Caracas in December, 1995, and until now a transition team has conducted pre-operational activities at the Boscan field since January, 1996.

Updated: July 1996