Press Release

ChevronTexaco and Its Partners Celebrate the Opening of the Caspian Pipeline

SAN FRANCISCO and MOSCOW, Nov. 27, 2001 – At a special ceremony held today at the Caspian Pipeline Consortium (CPC) terminal near Novorossiysk, Russia, ChevronTexaco Corp. (NYSE: CVX) and its partners celebrated the opening of a new oil export route from the Caspian region.

The 900-mile pipeline, built from the Tengiz Field in western Kazakhstan to the Black Sea port of Novorossiysk, commenced tanker loading last month. ChevronTexaco has a 15 percent interest in the $2.65 billion pipeline, which will be able to carry up to a maximum of 600,000 barrels per day in its initial phase.

Among those participating in the ceremony were Deputy Prime Minister Vladimir Shkolnik of Kazakhstan; First Deputy Minister of Energy Ivan Matlashov of Russia; Alexander Vershbow, U.S. Ambassador to Russia and Vicky Bailey, Assistant Secretary of Energy, U.S. government; ChevronTexaco chairman and CEO Dave O'Reilly, and vice chairman Dick Matzke. Senior executives from the other CPC shareholders were also present.

"This achievement comes at a time of increased partnership between the U.S., Russia, and Kazakhstan," said O'Reilly. He added, "CPC is a bellwether project for successful international cooperation and demonstrates the confidence the international business community has to invest in Russia and Kazakhstan."

Dick Matzke said, "The people of CPC, its partners, shareholders and the governments of Russia and Kazakhstan have every reason to be proud of their joint success." He added, "This world-class infrastructure project will encourage the development of oil fields in the region."

Construction of the pipeline commenced in May 1999. The terminal received first oil in August 2001 and will be able to operate at its capacity of 600,000 barrels per day in the first half of 2002.

CPC unlocks the potential of the Caspian region and will allow ChevronTexaco to maximize its investments in the supergiant Tengiz oil field and the gas condensate Karachaganak Field, both in Kazakhstan. ChevronTexaco holds a 50 percent interest in Tengiz and a 20 percent interest in Karachaganak.

The participants in CPC and their ownership interests are: Russian Federation (24 percent), the Republic of Kazakhstan (19 percent), Sultanate of Oman (7 percent), Chevron Caspian Pipeline Consortium Co. (15 percent), LUKARCO B.V. (12.5 percent), Rosneft/Shell Caspian Ventures Ltd. (7.5 percent), Mobil Caspian Pipeline Co. (7.5 percent), Agip International (N.A.) NV (2 percent), BG Overseas Holding Limited (2 percent), Kazakhstan Pipeline Ventures LLC (1.75 percent), and Oryx Caspian Pipeline LLC (1.75 percent).