HOUSTON, Nov. 14 /PRNewswire-FirstCall/ -- Chevron U.S.A. Inc. (NYSE:
CVX) today announced it has entered into a long-term agreement with
Enterprise Gas Processing LLC, an affiliate of Enterprise Products Partners
L.P. (NYSE: EPD) to gather and treat natural gas and extract natural gas
liquids from hydrocarbons produced from its Piceance Basin operations in
western Colorado.
Under terms of the agreement, Enterprise will process all natural gas
volumes Chevron produces from the Piceance program at its newly
commissioned Meeker natural gas processing facility, located 26 miles north
of Chevron's development. The Meeker facility has current processing
capacity of 750 million cubic feet per day (MMcf/d) of natural gas, which
is expected to double to 1.5 billion cubic feet per day with the scheduled
completion of the Phase II complex in the third quarter of 2008. Initial
volumes from Chevron's Piceance production are estimated to be 50 MMcf/d
beginning in 2008.
"This agreement represents a milestone for our Piceance Basin natural
gas development program," said Scott Davis, vice president of Chevron's
Mid- Continent/Alaska business unit. "Our drilling program is progressing
well, and we are on track with the installation of key facilities needed to
bring our gas to market. The agreement we signed today puts us another step
closer to achieving our plans to develop these unconventional resources in
a safe, socially and environmentally responsible manner."
Chevron began its drilling program in the prolific Piceance Basin with
a 13-well delineation program in 2005 on 33,000 acres that it owns on
Colorado's western slope. Two purpose-built rigs began drilling the first
development wells this summer, using extended-reach directional drilling
techniques that will allow Chevron to complete up to 22 wells from a single
pad. The entire development program may involve more than 2,000 wells and
could last from 10 to 15 years, with production operations continuing for
several decades.
Chevron's Mid-Continent/Alaska business unit manages the company's
onshore oil and gas production assets in the central United States,
extending from Wyoming to South Texas, as well as its onshore and offshore
assets in the Cook Inlet and North Slope regions of Alaska.
Chevron Corporation is one of the world's leading integrated energy
companies. We have approximately 58,000 employees, and our subsidiaries
conduct business in approximately 180 countries. We operate across the
entire energy spectrum - producing and transporting crude oil and natural
gas; refining, marketing and distributing fuels and other energy products
and services; manufacturing and selling petrochemical products; generating
power; and developing and commercializing 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
http://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.
This press release of Chevron U.S.A. Inc., a subsidiary of Chevron
Corporation, contains forward-looking statements relating to Chevron's
operations that are based on management's current expectations, estimates
and projections about the petroleum, chemicals and other energy-related
industries. Words such as "anticipates," "expects," "intends," "plans,"
"believes," "estimates," and similar expressions are intended to identify
such forward-looking statements. These statements are subject to certain
risks and uncertainties, some of which are beyond our control. Actual
results may differ materially from these forward-looking statements. Please
consult the factors set forth under the heading "Risk Factors" on page 31
and 32 of the company's Annual Report on Form 10-K for more information.
SOURCE Chevron U.S.A. Inc.
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Related links:
http://www.chevron.com/
CONTACT:
Margaret Cooper, Houston of Chevron U.S.A.
Inc., +1-832-854-6239
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