press release

Refinery IGCC Commences Commercial Operation Utilizing ChevronTexaco's Proprietary Gasification Technology

HOUSTON, July 7, 2003 -- ChevronTexaco Worldwide Power and Gasification today announced that a 342 megawatt Integrated Gasification Combined Cycle (IGCC) power plant using ChevronTexaco-licensed gasification technology has commenced commercial operation at Nippon Petroleum Refining Company's (NPRC) 340,000 barrel-per-day Negishi Refinery in Yokohama, Japan.

The feedstock for the IGCC facility is asphalt from the refinery. ChevronTexaco's wholly-owned subsidiary, Texaco Development Corporation, licensed the gasification technology to NPRC in 1998 and construction of the facility began in 2000. ChevronTexaco's engineers worked side-by-side with NPRC and contractors' engineers to make this IGCC facility one of the smoothest and most successful on-time IGCC startups accomplished.

This is the ninth IGCC facility in the world based on ChevronTexaco's proprietary gasification technology and the first in Japan. IGCC technology is widely recognized as the cleanest, most efficient way to produce electric power from feedstocks such as coal, refinery bottoms and petroleum coke.

Gasification technology works by injecting a solid or liquid feedstock with oxygen into a gasifier. In a high-temperature, high-pressure environment, the feedstock is broken down and converted into mainly hydrogen and carbon monoxide, commonly known as synthesis gas, or "syngas." This syngas can be used in place of natural gas to generate electricity or as a basic raw material to produce chemicals and clean fuel. If the syngas is used to produce electricity, it is typically used as a fuel in an IGCC power generation plant. The IGCC plant's combined-cycle system includes a high efficiency gas turbine that burns the syngas to produce electricity. Heat from the gas turbine's exhaust is recovered to produce steam to power traditional steam turbines.

ChevronTexaco is a world leader in the development and application of gasification technology, both for IGCC and for the production of hydrogen, chemicals, fertilizers and other products. Some of the world's most successful chemical, refining and power companies now use ChevronTexaco's proprietary gasification technology which, in addition to its economic and environmental advantages, is also regarded as both unique and versatile.

Updated: July 2003