press release

Chevron Press Release - Start-up Begins At Chevron Chemical Co. LLCs Singapore Plant

SINGAPORE, Oct. 26, 1998 -- Oronite Additives, a division of Chevron Chemical Co. LLC, has confirmed the start-up of its new fuel and lubricating oil additives plant in Singapore. The facility will begin full pre-commercial production in November. The (US) $215 million, 135,000 tons-per-year, facility on Jurong Island is the first worldscale detergent-inhibitor additives plant in the Asia-Pacific Region.

Customer interest has been super, according to Dave Mueller, Oronite's general manager for the Asia-Pacific Region. We are close to being sold out for the initial capacity and have started detailed planning for our first component expansions. In January, we will start shipments from Singapore to some 15 countries.

Our prime contractors, Chiyoda Corp. and our Chevron project managers have done a magnificent job with on-time delivery of the completed facility and with the hiring and training of a world-class operating team, Mueller added. We are delighted with what's been accomplished and pleased that we are now positioned to be the leading supplier of additives in the Asia-Pacific Region.

Construction of the plant began in March 1997, with final turnover from Chiyoda Corp. earlier this month. The Singapore facility is designed in such a way that capacity can be doubled very quickly and at lower incremental capital costs as demand builds, Mueller said.

Nine vessels ranging up to 40,000 tons have offloaded raw materials at Oronite's dedicated jetty on Jurong Island. All utility and environmental systems and production trains for intermediates are fully operational. The plants laboratory and blending units also are fully operational.

Oronite has consolidated most of its Singapore-based staff in its new regional headquarters building at the Jurong Island site. Sales and marketing teams are remaining in the company's downtown office, but will move to Jurong Island next year when the causeway opens. Earlier this year, Oronite opened marketing offices in Seoul and Beijing to expand sales in the region, including the Singapore-manufactured products as well as the Paratone line of viscosity improver additives recently purchased from Exxon.

Chevron Chemical Co. LLC is headquartered in San Ramon, Calif. Oronite is a leading developer, manufacturer and marketer of fuel and lubricant additives.

Updated: October 1998