press release

Chevron Press Release - Chevron To Evaluate Potential For Upstream Ventures In Bahrain

SAN FRANCISCO, Nov. 13, 1996 -- Chevron has signed a Letter of Intent with the Bahrain National Oil Company (BANOCO) to jointly evaluate the potential for upstream ventures, it was announced today.

The study, which will include technical service possibilities, is expected to take up to eight months and will also explore feasibilities for joint cooperation in several areas, including petroleum exploration, development, and transfer of technology. The Letter of Intent further provides opportunities to examine enhanced oil recovery techniques for possible use in the continuing development of the Bahrain oil field.

"Chevron has worked closely with BANOCO since the late 1970s on reservoir management, and we are looking forward to continuing our mutually beneficial relationship," said Richard Matzke, president of Chevron Overseas Petroleum Inc.

Chevron's entry into the Middle East dates back to 1931 when it earned the distinction of being the first oil company to discover oil in Bahrain. The discovery, Jabal ad Dukhan No. 1, produced oil from a shallow zone at an initial rate of 1,400 barrels a day.

Through its affiliate Caltex, Chevron expanded its interest in Bahrain when it opened its very first refinery in 1936.

Updated: November 1996