Chevron Reaffirms 2017 Production Target, Highlights Future Growth

  Chevron Reaffirms 2017 Production Target, Highlights Future Growth

  *Upstream major capital projects remain on track, active exploration
    program continues
  *Downstream completes three-year restructuring plan, focus turns to
    targeted growth in petrochemicals and lubricants
  *Financial strength supports investment program and shareholder

Business Wire

NEW YORK -- March 12, 2013

Chevron Corporation (NYSE: CVX) executives said today at the company’s annual
security analyst meeting in New York that the company is continuing to deliver
industry-leading operational and financial results and progressing key
development projects.

“We had another outstanding year in 2012. We continue to lead the industry in
total shareholder returns and most other safety and financial performance
metrics,” said John Watson, Chevron’s chairman and CEO. Watson added, “Our key
development projects remain on track, and we are well positioned to deliver
our 2017 target of 3.3 million barrels of oil-equivalent production first
announced three years ago. In addition, our project queue is gaining momentum
to deliver growth beyond 2017.”

George Kirkland, vice chairman and executive vice president, Upstream,
highlighted Chevron’s industry-leading upstream results, which include top
rankings on earnings per barrel, cash margin per barrel and return on capital
employed. The company also highlighted the strong performance of Chevron’s
current producing base, where a consistent focus on reliability, operating
efficiency and targeted investments has reduced natural field decline rates.
He also noted ample investment opportunities and the ability to expand shale
and tight reservoir operations, particularly in North America’s Permian and
Marcellus basins.

Kirkland reviewed progress on key growth projects under construction. “We are
advancing our project queue as planned. Construction on our Australian LNG
projects, Gorgon and Wheatstone, is progressing very well, with first LNG for
Gorgon targeted for early 2015. Construction continues on the Jack/St. Malo
and Big Foot deepwater projects in the U.S. Gulf of Mexico, both of which are
scheduled for start-up in 2014.” He highlighted encouraging results from
recent, new technology applications designed to improve recoveries and reduce
costs for deepwater developments. Finally, Kirkland commented on favorable
project returns, noting, “The projects we are bringing on line over the next
five years have very sound economics and potential to increase our cash

As part of the upstream discussion, Jay Johnson, president, Chevron Europe,
Eurasia and Middle East Exploration and Production, focused on Chevron’s queue
of projects and exploration opportunities aimed to deliver additional
long-term production growth. “Our growth opportunities include multiple
frontier exploration plays and developing existing resources, most notably
Tengiz operations in Kazakhstan, Wafra steamflood operations in the
Partitioned Zone, and Australian and Canadian LNG. We’re well positioned for
growth beyond 2017,” Johnson said.

Mike Wirth, executive vice president, Downstream and Chemicals, summarized the
results of Chevron’s multiyear plan to improve earnings in refining and
marketing. “Our restructuring efforts are complete. We’ve sold
under-performing or non-strategic assets, simplified our operations and
reduced costs. Returns have increased 10 percent as a direct function of the
improvements we’ve captured.” Wirth added, “We will maintain a focused and
competitive portfolio, and selectively pursue growth in petrochemicals and

Pat Yarrington, vice president and chief financial officer, highlighted
Chevron’s financial performance and consistent financial priorities.
Yarrington noted the company’s history of investing for growth while
significantly increasing the dividend, repurchasing shares and strengthening
the balance sheet. “Over the next five years, operating cash flows should grow
significantly, as new production comes online. We intend to continue our cash
distribution policies,” Yarrington said.

Presentations delivered by Watson, Kirkland, Wirth, Yarrington and Johnson are
available on the Investor Relations website at

Chevron is one of the world's leading integrated energy companies, with
subsidiaries that conduct business worldwide. The company is involved in
virtually every facet of the energy industry. Chevron explores for, produces
and transports crude oil and natural gas; refines, markets and distributes
transportation fuels and lubricants; 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. Chevron is based in San Ramon, Calif. More information
about Chevron is available at

Cautionary Statement Relevant to Forward-Looking Information for the Purpose
of “Safe Harbor” Provisions of the Private Securities Litigation Reform Act of

This press release of Chevron Corporation contains forward-looking statements
relating to Chevron’s operations and growth targets 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," "targets," “forecasts,”
"projects," "believes," "seeks," "schedules," "estimates," "budgets,"”outlook”
and similar expressions are intended to identify such forward-looking
statements. These statements are not guarantees of future performance and are
subject to certain risks, uncertainties and other factors, many of which are
beyond the company's control and are difficult to predict. Therefore, actual
outcomes and results may differ materially from what is expressed or
forecasted in such forward-looking statements. The reader should not place
undue reliance on these forward-looking statements, which speak only as of the
date of this presentation. 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.

Among the important factors that could cause actual results to differ
materially from those in the forward-looking statements are: changing crude
oil and natural gas prices; changing refining, marketing and chemical margins;
actions of competitors or regulators; timing of exploration expenses; timing
of crude oil liftings; the competitiveness of alternate-energy sources or
product substitutes; technological developments; the results of operations and
financial condition of equity affiliates; the inability or failure of the
company’s joint-venture partners to fund their share of operations and
development activities; the potential failure to achieve expected net
production from existing and future crude oil and natural gas development
projects; potential delays in the development, construction or startup of
planned projects; the potential disruption or interruption of the company’s
production or manufacturing facilities or delivery/transportation networks due
to war, accidents, political events, civil unrest, severe weather or crude oil
production quotas that might be imposed by the Organization of Petroleum
Exporting Countries; the potential liability for remedial actions or
assessments under existing or future environmental regulations and litigation;
significant investment or product changes required by existing or future
environmental statutes, regulations and litigation; the potential liability
resulting from other pending or future litigation; the company’s future
acquisition or disposition of assets and gains and losses from asset
dispositions or impairments; government-mandated sales, divestitures,
recapitalizations, industry-specific taxes, changes in fiscal terms or
restrictions on scope of company operations; foreign currency movements
compared with the U.S. dollar; the effects of changed accounting rules under
generally accepted accounting principles promulgated by rule-setting bodies;
and the factors set forth under the heading “Risk Factors” on pages 28 through
30 of the company’s 2012 Annual Report on Form 10-K. In addition, such results
could be affected by general domestic and international economic and political
conditions. Other unpredictable or unknown factors not discussed in this
presentation could also have material adverse effects on forward-looking


Chevron Corporation
Lloyd Avram, +1 925-790-6930
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