press release

Chevron Chemical Co. Awards Engineering Contract

Chevron Chemical Co. Awards Engineering Contract For Proposed Singapore Additives Plant

SINGAPORE, Oct. 5, 1995 -- Chevron Chemical Co. announced today that it has awarded Chiyoda Corporation (Yokohama, Japan) a contract for front-end engineering of its proposed lubricating oil and fuel additives plant in Singapore. The world-scale, export-oriented plant would be operated by the Oronite Additives Division through its 100 percent-owned Chevron Chemical (Far East) Pte. Ltd. subsidiary.

Chiyoda recently completed feasibility engineering for the project and will now work on the next phase of design. The front-end engineering work will be done in Chiyoda's Yokohama office. Competitive bidding and contract award for the project are expected in mid-1996.

"The Singapore plant will add needed global manufacturing capacity while also improving our competitive position in our fastest growing market, the Asia Pacific region," said John Sanders, Chevron Chemical Vice President and Oronite Division General Manager. "Logistics and local investment incentives make Singapore the preferred location."

The plant, to be located in Singapore's Jurong Island Industrial Estate on Pulau Sakra, would become a major supply center for Oronite's business in the Asia Pacific region. The new facility will reduce imports from Oronite's other major manufacturing facilities in the United States and France and significantly improve customer supply capability in the region.

The project is expected to receive final corporate funding approval in the second quarter of 1996 after completion of front-end engineering. Startup of the new facility would be in mid-1998.

Oronite develops and markets lubricating oil and fuel additive products worldwide. Oronite has other major manufacturing sites in Oak Point, Louisiana, U.S.A.; Gonfreville, France; Maua, Brazil; and Omaezaki, Japan. Joint venture plants are located in San Juan del Rio, Mexico; and Madras, India.

Updated: October 1995