Chevron Welcomes Western Australian Environmental Protection Authority Decision on Gorgon Project
SAN RAMON, Calif., April 29, 2009 - Chevron Corporation (NYSE:CVX) welcomes today's recommendation by the Western Australian Environmental Protection Authority's (EPA) that the revised and expanded Chevron-operated Gorgon Project could meet the EPA's environmental objectives.
The revised and expanded proposal adds a third 5 million metric-tons-per-year (MTPY) liquefied natural gas (LNG) train to the original two-train proposal already approved for Barrow Island.
The EPA's decision is an important step in the regulatory process. Chevron can now continue to assess the conditions as it works toward a final investment decision in the second half of this year.
Gorgon is Australia's single largest resource project and is set to deliver significant economic benefits and create thousands of jobs.
Chevron is currently reviewing and assessing the EPA's proposed conditions. The company acknowledges that under the state's process the government provides final approval for the project.
The Joint Venture participants — Chevron (operator), Shell and ExxonMobil — are committed to moving the project forward on Barrow Island and believe the environmental impacts of the project can be minimized and effectively managed in accordance with environmental best practices.
Chevron has a 40-year track record of protecting biodiversity on Barrow Island. With proper management and planning, the company has demonstrated that development and conservation can coexist.
The environmental assessment for the Gorgon project has been the most comprehensive in Australia. It is the result of six years of preparation, including the research and contributions of numerous independent experts, and extensive community consultation.
The Gorgon project is expected to boost gross domestic product, generate significant government revenue and create local opportunities through goods and services. It also includes a domestic natural gas capability which will provide more energy security for Western Australians.
Chevron (50%) operates the Gorgon Project with joint venture participants ExxonMobil (25%) and Shell (25%).
Chevron Corporation is one of the world's leading integrated energy companies, with subsidiaries that conduct business worldwide. The company's success is driven by the ingenuity and commitment of approximately 62,000 employees who operate across the energy spectrum. Chevron explores for, produces and transports crude oil and natural gas; refines, markets and distributes transportation fuels and other energy products; manufactures and sells petrochemical products; generates power and produces geothermal energy; provides energy efficiency solutions; and develops the energy resources of the future, including biofuels and other renewables. Chevron is based in San Ramon, Calif. More information about Chevron is available at www.chevron.com.
Cautionary Statement Relevant to Forward-Looking Information for the Purpose of "Safe Harbor" Provisions of the Private Securities Litigation Reform Act of 1995.
Some of the items discussed in this media statement are forward-looking statements about Chevron's activities in Australia. Words such as "anticipates," "expects," "intends," "plans," "targets," "projects," "believes," "seeks," "estimates," "budgets" and similar expressions are intended to identify such forward-looking statements. The statements are based upon management's current expectations, estimates and projections; are not guarantees of future performance; and are subject to certain risks, uncertainties and other factors, some of which are beyond the company's control and are difficult to predict. Among the factors that could cause actual results to differ materially are changes in prices of, demand for and supply of crude oil and natural gas; actions of competitors; ; prompt receipt of required government and regulatory approvals; timely development of the natural gas fields, which will supply the facilities; securing the necessary sales agreements for the project's production of LNG for export and natural gas for Australian domestic use; the potential disruption or interruption of production and development activities due to war, accidents, political events, civil unrest, or severe weather; government-mandated sales, divestitures, recapitalizations and changes in fiscal terms or restrictions on the scope of company operations; and general economic and political conditions. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this media statement. Unless legally required, Chevron undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.
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Updated: April 2009