UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 8-K

Current Report
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): January 11, 2010

Chevron Corporation

(Exact name of registrant as specified in its charter)

Delaware		1-368-2		94-0890210
(State or other jurisdiction		(Commission File Number)		(I.R.S. Employer No.)
of incorporation )

6001 Bollinger Canyon Road, San Ramon, CA		94583
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: (925) 842-1000

None

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligations of the registrant under any of the following provisions:

o		Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o		Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o		Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o		Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

Item 2.02		Results of Operations and Financial Condition

On January 11, 2010, Chevron Corporation issued a press release providing a fourth quarter 2009 interim update. The press release is attached hereto as Exhibit 99.1 and incorporated herein by reference.

The information included herein and in Exhibit 99.1 shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Dated: January 11, 2010

		CHEVRON CORPORATION
		By		/s/ M.A. Humphrey
				M. A. Humphrey, Vice President and
				Comptroller (Principal Accounting Officer and Duly Authorized Officer)

EXHIBIT INDEX

99.1

Press release issued January 11, 2010.

Exhibit 99.1

		Chevron Corporation Policy, Government and Public Affairs Post Office Box 6078 San Ramon, CA 94583-0778 www.chevron.com

NEWS RELEASE

EXHIBIT 99.1
FOR IMMEDIATE RELEASE

CHEVRON ISSUES INTERIM UPDATE FOR FOURTH QUARTER 2009

     SAN RAMON, Calif., January 11, 2010 — Chevron Corporation (NYSE:CVX) today reported in its interim update that earnings for the fourth quarter 2009 are expected to be lower than in the third quarter 2009. Upstream earnings are projected to be in line with third quarter results as the benefit of higher commodity prices is offset by the absence of gains recognized in the third quarter associated with formal approval of the Gorgon project in Australia. Downstream results are expected to be sharply lower, mainly due to significantly weaker refining margins.

     Basis for Comparison in Interim Update

     The interim update contains certain industry and company operating data for the fourth quarter 2009. The production volumes, realizations, margins and certain other items in the report are based on a portion of the quarter and are not necessarily indicative of Chevron’s quarterly results to be reported on January 29, 2010. The reader should not place undue reliance on this data.

     Unless noted otherwise, all commentary is based on two months of the fourth quarter 2009 versus full third quarter 2009 results.

UPSTREAM — EXPLORATION AND PRODUCTION

     The table that follows includes information on production and price indicators for crude oil and natural gas for specific markets. Actual realizations may vary from indicative pricing due to quality and location differentials and the effect of pricing lags. International earnings are driven by actual liftings, which may differ from production due to the timing of cargoes and other factors.

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						2008				2009
																						4Q thru				4Q thru
						4Q				1Q				2Q				3Q				Nov				Dec
U.S. Upstream
Net Production:
Liquids		MBD					399				441				467				509				526				n/a
Natural Gas		MMCFD					1,320				1,379				1,395				1,420				1,399				n/a
Total Oil-Equivalent		MBOED					619				671				700				745				759				n/a
Pricing:
Avg. WTI Spot Price		$/Bbl					59.14				43.19				59.71				68.14				76.87				76.08
Avg. Midway Sunset Posted Price		$/Bbl					45.07				34.44				52.69				60.06				68.86				68.17
Nat. Gas-Henry Hub “Bid Week” Avg.		$/MCF					6.96				4.91				3.49				3.40				4.00				4.16
Nat. Gas-CA Border “Bid Week” Avg.		$/MCF					4.97				4.01				3.00				3.10				4.10				4.28
Nat. Gas-Rocky Mountain “Bid Week” Avg.		$/MCF					3.46				3.20				2.25				2.57				3.72				3.83
Average Realizations:
Crude		$/Bbl					51.43				36.85				53.21				63.28				69.92				n/a
Liquids		$/Bbl					49.13				36.00				50.42				60.20				66.94				n/a
Natural Gas		$/MCF					5.23				4.14				3.27				3.28				3.94				n/a
International Upstream
Net Production:
Liquids		MBD					1,308				1,360				1,346				1,350				1,392				n/a
Natural Gas		MMCFD					3,493				3,642				3,593				3,475				3,581				n/a
Mined Bitumen		MBD					31				25				26				27				26				n/a
Total Oil Equivalent — incl. Mined Bitumen		MBOED					1,921				1,992				1,970				1,957				2,014				n/a
Pricing:
Avg. Brent Spot Price 1		$/Bbl					55.48				44.46				59.13				68.15				74.66				74.53
Average Realizations:
Liquids		$/Bbl					46.79				39.43				53.17				61.90				68.14				n/a
Natural Gas		$/MCF					5.10				4.21				3.73				3.92				3.99				n/a

     Compared with the average for the third quarter 2009, U.S. net oil-equivalent production during the first two months of the fourth quarter rose 14,000 barrels per day primarily in the Gulf of Mexico.

     International net oil-equivalent production increased 57,000 barrels per day compared with the third quarter. The liquids component of oil-equivalent production increased 42,000 barrels per day reflecting normal operations in Nigeria and the continued ramp-up of production from the expansion project at the Tengiz Field in Kazakhstan. Net natural gas production increased 106 million cubic feet per day, mainly due to the completion of planned maintenance at North Sea fields and higher sales in Thailand.

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     For the first two months of the fourth quarter, U.S. crude oil realizations rose $6.64 per barrel to $69.92. International liquids realizations also improved by more than $6 to $68.14 per barrel. U.S. natural gas realizations increased $0.66 to $3.94 per thousand cubic feet compared with the third quarter, while average international natural gas realizations improved slightly to $3.99 per thousand cubic feet.

     International upstream earnings in the third quarter included gains and related tax effects of about $400 million connected with formal project approval of the Gorgon project.

DOWNSTREAM — REFINING, MARKETING AND TRANSPORTATION

     The table that follows includes industry benchmark indicators for refining and marketing margins. Actual margins realized by the company will differ due to crude and product mix effects, planned and unplanned shutdown activity and other company-specific and operational factors.

						2008				2009
																						4Q thru				4Q thru
						4Q				1Q				2Q				3Q				Nov				Dec
Downstream
Market Indicators:		$/Bbl
Refining Margins
U.S. West Coast — Blended 5-3-1-1							15.29				19.20				15.18				16.13				11.04				11.83
U.S. Gulf Coast — Maya 5-3-1-1							18.96				14.74				13.46				12.54				11.08				11.56
Singapore — Dubai 3-1-1-1							6.07				5.49				4.08				4.54				2.11				2.46
N.W. Europe — Brent 3-1-1-1							6.58				4.18				4.36				4.23				3.77				3.59
Marketing Margins
U.S. West — Weighted DTW to Spot							9.11				0.83				3.61				8.96				8.69				7.71
U.S. East — Houston Mogas Rack to Spot							3.64				2.19				2.91				3.47				3.04				3.18
Asia-Pacific / Middle East / Africa							6.87				4.67				4.26				4.04				4.40				n/a
Actual Volumes:
U.S. Refinery Input		MBD					930				938				923				879				829				n/a
Int’l Refinery Input		MBD					973				985				970				985				967				n/a
U.S. Branded Mogas Sales		MBD					606				613				639				623				593				n/a

     Refining indicator margins worldwide for the full fourth quarter declined to the lowest levels of the year. Marketing indicator margins in the United States were also lower in the fourth quarter. Comparing October and November with the third quarter, the Asia-Pacific / Middle East / Africa marketing margin saw a modest improvement.

     During the first two months of the fourth quarter, daily U.S. refinery crude-input volumes were down 50,000 barrels per day, or about six percent, resulting from planned maintenance at the El Segundo refinery in California. Outside the United States, refinery crude-input volumes were down 18,000 barrels per day largely due to planned maintenance at the Burnaby refinery in Canada.

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     Both U.S. and international downstream results in the full fourth quarter are expected to be substantially lower, in large part due to depressed margins. Additionally, downstream earnings are projected to include unfavorable timing effects due in part to the increase in crude oil and refined product prices between the beginning and end of the quarter.

CHEMICALS

						2008				2009
																						4Q thru				4Q thru
						4Q				1Q				2Q				3Q				Nov				Dec
Chemicals Source: CMAI		Cents/lb
Ethylene Industry Cash Margin							14.97				7.47				6.76				8.38				7.88				7.77
HDPE Industry Contract Sales Margin							22.28				17.98				24.56				27.59				23.71				22.33
Styrene Industry Contract Sales Margin							16.04				14.81				13.86				11.51				10.75				10.84

Note: Prices, economics, and views expressed by CMAI are strictly the opinion of CMAI and Purvin & Gertz and are based on information collected within the public sector and on assessments by CMAI and Purvin & Gertz staff utilizing reasonable care consistent with normal industry practice. CMAI and Purvin & Gertz make no guarantee or warranty and assume no liability as to their use.

     In the Chemicals segment, full fourth quarter earnings are projected to fall on lower margins and sales volumes across several product lines.

ALL OTHER

     The company’s general guidance for the quarterly net after-tax charges related to corporate and other activities is between $250 million and $350 million. Due to foreign currency effects and the potential for irregularly occurring accruals related to income taxes, pension settlements and other matters, actual results may significantly differ from the guidance range.

# # #

NOTICE

Chevron’s discussion of fourth quarter 2009 earnings with security analysts will take place on Friday, January 29, 2010, at 8:00 a.m. PST. A webcast of the meeting will be available in a listen-only mode to individual investors, media, and other interested parties on Chevron’s website at www.chevron.com under the “Investors” section. Additional financial and operating information will be contained in the Earnings Supplement that will be available under “Events & Presentations” in the “Investors” section on the website.

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CAUTIONARY STATEMENT RELEVANT TO FORWARD-LOOKING INFORMATION FOR THE
PURPOSE OF “SAFE HARBOR’’ PROVISIONS OF THE PRIVATE SECURITIES LITIGATION REFORM
ACT OF 1995

This Interim Update 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,” “targets,” “projects,” “believes,” “seeks,” “schedules,” “estimates,” “budgets” 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, some 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 Interim Update. 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; refining, marketing and chemicals 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 start-up of planned projects; the potential disruption or interruption of the company’s net 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 (OPEC); the potential liability for remedial actions or assessments under existing or future environmental regulations and litigation; significant investment or product changes under 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 30 and 31 of the company’s 2008 Annual Report on Form 10-K. In addition, such statements could be affected by general domestic and international economic and political conditions. Unpredictable or unknown factors not discussed in this Interim Update could also have material adverse effects on forward-looking statements.