LNG delivery represents significant step in Chevron's growing LNG business in Asia

SAN RAMON, Calif., May 16, 2006 – Chevron Corporation (NYSE: CVX) today announced its participation in China's first imported shipment of liquefied natural gas (LNG). The inaugural cargo is being loaded today in Karratha, Western Australia, the base of operations for the North West Shelf Venture, and will be en route to China's first LNG receiving terminal at Guangdong in southern China.

“This historic LNG shipment to China is another milestone in Chevron's strategy to connect our resource base to the markets that need them,” said John Gass, president of Chevron Global Gas. “This also underscores our view that China is on its way to becoming an important market in the global LNG business.”

The North West Shelf Venture continues to demonstrate long-term value creation for Chevron and its venture partners. The Venture currently is in the process of adding a fifth LNG production train, raising total production to over 16 million metric tons per year, and enjoys strong long term relationships with customers in Japan and Korea. This shipment of 125,000 cubic meters of natural gas officially marks the start of a 25-year trade relationship between the North West Shelf Venture and Guangdong Dapeng LNG Company Ltd.

Chevron is an equal one-sixth partner in the North West Shelf Venture, which began LNG production in 1989 at onshore facilities in Western Australia and markets LNG to customers in Asia, primarily Japan and Korea. Its partners in the Venture are BHP Billiton Petroleum (North West Shelf) Pty Ltd., BP Developments Australia Pty Ltd., Japan Australia LNG (MIMI) Pty Ltd., Shell Development (Australia) Proprietary Ltd., and Woodside Energy Ltd. (operator). CNOOC NWS Private Limited is also a member of the North West Shelf Venture but does not have an interest in the North West Shelf Venture infrastructure.

Chevron Corporation is one of the world's leading energy companies. With more than 53,000 employees, Chevron subsidiaries conduct business in approximately 180 countries around the world, producing and transporting crude oil and natural gas, and refining, marketing and distributing fuels and other energy products. Chevron is based in San Ramon, Calif. More information on Chevron is available at 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.

Some of the items discussed in this press release are forward-looking statements about Chevron's LNG business. Words such as “expected” “plans” 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. Among the factors that could cause actual results to differ materially are changes in the demand for and supply of crude oil and natural gas; actions of competitors; the potential disruption or interruption of project activities due to war, accidents, political events, civil unrest or severe weather; inability or failure of the company's joint-venture partners to fund their share of project expenditures; and general economic and political conditions. 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.

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