Companies sign production-sharing contract to develop Chuandongbei gas
project
BEIJING and SAN RAMON, Calif., Dec. 18 /PRNewswire-FirstCall/ --
Chevron Corporation (NYSE: CVX) today announced that its main Chinese
subsidiary has signed a 30-year production-sharing contract with China
National Petroleum Corporation (CNPC) for the joint development of the
Chuandongbei natural gas area in central China. Chevron will take over the
role of operator and hold a 49 percent participating interest and CNPC will
hold a 51 percent interest in the project.
"The signing of this contract demonstrates our worldwide focus on
large- scale exploration and production projects, and our long-term
strategy to grow our business in China," said Dave O'Reilly, chairman and
chief executive officer of Chevron Corporation, during a signing ceremony
in Beijing. "Chevron is pleased to bring our technological expertise and
strong emphasis on safety, efficiency and reliability to develop the
Chuandongbei gas project in partnership with CNPC."
Added Isikeli Taureka, Chevron's country manager for China: "This
partnership is a milestone for future cooperation between CNPC and Chevron.
We look forward to working with CNPC to find solutions to meet China's
rapidly growing demand for energy. We also plan to undertake a multiphase
work program with CNPC's subsidiary PetroChina Southwest Oil and Gas Field
Company to evaluate additional reserves in the contract area and commence
front end engineering and design work."
The Chuandongbei gas development area covers nearly 2,000 square
kilometers in the Sichuan province. Chuandongbei, which includes the
Tieshanpo, Dukouhe-Qilibei and Luojiazhai gas fields, has an estimated
resource base of 5 trillion cubic feet of natural gas. Design capacity at
the proposed gas plants is expected to be 740 million cubic feet of natural
gas per day.
Chevron Corporation is one of the world's leading integrated energy
companies. We have approximately 58,000 employees, and our subsidiaries
operate across the entire energy spectrum - exploring for, 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.
NOTE TO EDITORS:
1. Total average daily production in 2006 from Chevron's interests in
China was 100,000 barrels of crude oil and condensate (23,000 net) and
54 million cubic feet of natural gas (18 million net).
2. According to the International Energy Agency (World Outlook 2007),
China's primary energy demand is projected to more than double from
2005 to 2030 and the country is expected to overtake the US as the
world's largest energy consumer soon after 2010.
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 press release are forward-looking
statements about Chevron's upstream activities. 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. You should not place undue reliance
on these forward-looking statements, which speak only as of the date of
this press release. 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.
U.S. Securities and Exchange Commission (SEC) rules permit oil and gas
companies to disclose only proved reserves in their filings with the SEC.
Certain terms, such as "probable" or "possible reserves," "resource base,"
or "resources," among others, may be used to describe certain crude oil and
natural gas properties that are not permitted to be used in the company's
filings with the SEC. Investors should refer to disclosures contained in
Chevron's Annual Report on Form 10-K for the year ended December 31, 2006.
SOURCE Chevron Corporation
 back to top
Related links:
http://www.chevron.com
CONTACT:
Nicole Hodgson, Bangkok, Asia, +66 81932
6912; or Donald Campbell, San Ramon, +1-925-842-2589, both of
Chevron Corporation
|
