Chevron Announces First Oil from Tahiti Field in Gulf of Mexico

Gulf's Deepest Production Expected to Add 125,000 Barrels of Oil Per Day

SAN RAMON, Calif., May 6, 2009 – Chevron Corporation (NYSE: CVX) has announced that it has started crude oil production from its Tahiti Field, the deepest producing field in the Gulf of Mexico. First oil from Tahiti was achieved on May 5, 2009. Daily production is expected to ramp up to approximately 125,000 barrels of crude oil and 70 million cubic feet of natural gas before the end of the year.

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The Tahiti Field is one of the largest in the Gulf of Mexico. It was discovered in 2002 and is estimated to contain total recoverable resources of 400 to 500 million oil-equivalent barrels. The total cost for the first phase of the project is $2.7 billion and represents one of 40 projects in which Chevron's share of the investment is over $1 billion.
Tahiti

The Tahiti Field is located 190 miles (305 km) south of New Orleans, in approximately 4,100 feet (1,250 m) of water.

"Tahiti is a significant addition to our growing reserves and production," said George Kirkland, executive vice president, Global Upstream and Gas. "It is another demonstration of our deepwater expertise, and our ability to execute an industry-leading queue of major capital projects."

Tahiti is located at Green Canyon Blocks 596, 597, 640 and 641, approximately 190 miles (305 kilometers) south of New Orleans, and in approximately 4,100 feet (1,250 meters) of water. Primary pay sands are Lower to Middle Miocene from 23,000 to 28,000 feet and lie below a salt canopy ranging from 8,000 to 15,000 feet thick. The deepest producing well is more than 26,700 feet, a record for the Gulf of Mexico. Production is from two subsea drill centers tied backed to a floating production facility supported by a truss spar.

Chevron holds a 58 percent working interest in Tahiti and is the operator, StatoilHydro holds a 25 percent working interest, and Total owns a 17 percent working interest.

Source: Chevron Corp.