press release

Chevron Press Release - Chevron, Exxon And Petrofina Celebrate First Oil From Genesis Project In U.S. Gulf

Genesis Project

NEW ORLEANS, Feb. 1, 1999 -- Flow of first oil was announced today by partners in the Genesis Project, a deepwater oil and natural gas drilling and production facility in 2,600 feet of water in the Gulf of Mexico, located 150 miles south of New Orleans.

Genesis is expected to produce approximately 30,000 barrels of oil and more than 20 million standard cubic feet of natural gas per day during 1999. Production is planned to increase at a steady pace so that by the year 2000 Genesis will reach its peak production capacity of 55,000 barrels of oil and 72 million cubic feet of natural gas per day.

"Flowing oil and gas from Chevron's first deepwater development is an exciting milestone for us," said Peter Robertson, president of Chevron U.S.A. Production Co., operator for the Genesis Project. "Bringing Genesis onstream typifies the industry's commitment to the development of domestic energy resources and emphasizes the importance of deepwater operations in the Gulf of Mexico."

"We are very proud of the Chevron and Exxon employees who made up the Genesis Project team, and our contractors who supported them. They all cleared significant logistical and technical hurdles in order to make this happen. And they did it with a great environmental and safety record," said Andy Hardiman, Chevron U.S.A. Production vice president of the Deepwater Business Unit.

Genesis utilizes a unique floating spar platform -- the first ever to accommodate both drilling and production facilities.

The $750 million Genesis Project, located on Green Canyon Blocks 205, 160 and 161, was developed jointly by Chevron U.S.A. Production Co. (56.67 percent), Exxon Company, U.S.A. (38.38 percent), and PetroFina Delaware Inc. (4.95 percent).

Note to Editors:

For more information on the Genesis project, please see our June 19, 1998, press release, which provides a selection of photographs and statistics.

Updated: February 1999