press release

Chevron Press Release - Chevron Reaches Second Agreement on Marine Terminal Operations at El Segundo

EL SEGUNDO, Calif., Aug. 23, 2000 -- Chevron today announced a settlement with the U.S. Environmental Protection Agency (EPA) and Department of Justice concerning alleged violations of the Clean Air Act at the company's El Segundo marine terminal. The terminal is 1.5 miles offshore from Chevron's Southern California refinery.

The settlement contains two main parts. The first, announced in mid-July, consists of two Supplemental Environmental Projects, which are also part of a separate agreement with Communities for a Better Environment (CBE). These projects include $500,000 to upgrade refinery valve components, which will further reduce emissions, and $500,000 to fund a community project at a harbor area free clinic in Los Angeles County. The second part is a payment of $6 million to the federal government.

The company emphasized that neither agreement assigns nor implies any wrongdoing on the part of Chevron.

"One of our primary core business values at Chevron is protecting people and the environment," said Gary Yesavage, general manager of the El Segundo Refinery. "We are disappointed that we did not take the extra step needed to ensure we were meeting all requirements of this complex regulatory system."

He added, "Chevron is working very closely with the EPA to approve a vessel-loading protocol which will guarantee full compliance with all air quality regulations applicable to our marine terminal operations."

Chevron followed a rule approved by both the South Coast Air District and the State of California to purchase and scrap old, "high-polluting" cars, thereby earning credits to offset air emissions at its marine terminal. Though the offset plan was under review by the U.S. EPA, it had not received approval.

"Chevron operated in good faith and thought it was in full compliance with appropriate air emission rules," said Yesavage.

Updated: August 2000