press release

Chevron Press Release - Chevron Chemical Co. To Conduct Front-end Engineering

SAN RAMON, Calif., Oct. 2, 1997 -- Chevron Chemical Co. today announced that it will conduct front-end engineering for a worldscale normal alpha olefin (NAO) plant that would be located at one of the company's two Gulf Coast sites. Using Chevron's proprietary technology, the plant will produce annually 750 million pounds of alpha olefins and is expandable to one billion pounds. It is scheduled to begin production in mid-2000. The company selected Bechtel to perform engineering services.

"This plant is part of our long-term strategy to grow our business so that we can meet our customers increasing needs as they expand," said Chevron Chemical Senior Vice President Darry Callahan. "The new plant will incorporate our latest technological improvements, resulting in product with higher alpha content," he added.

The project supports Chevron's plans to develop a complete slate of NAO products. Chevron manufactures 11 different linear alpha olefin fractions. Alpha olefins are chemical intermediates used to make a variety of products, including polyethylenes, surfactants, synthetic lubricants and additives. New applications continue to be found for these versatile products.

Chevron Chemical currently operates an 800 million pounds-per-year NAO plant at its Baytown, Texas, facility. At that site, the original unit was built in 1965 and a subsequent unit was added in 1990. Expansion and debottlenecks have brought the units up to current capacity.

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

Updated: October 1997