Chevron Announces Agreement to Acquire Marcellus Shale Acreage

04.05.2011  |  Business Wire

Chevron Corporation (NYSE:CVX) has announced today that it has agreed to
acquire oil and gas assets, primarily 228,000 net leasehold acres, in
the Marcellus Shale from Chief Oil & Gas LLC and Tug Hill, Inc. Terms of
the transaction, which is expected to close before the end of the second
quarter, were not disclosed.

George Kirkland, vice chairman, Chevron Corporation, said, 'This
opportunity is aligned with our strategy to acquire early-in-life assets
with long-term organic growth potential. Over the last year, Chevron has
acquired nearly five million net acres of shale gas assets in the United
States, Canada, Poland and Romania.?

'This expansion of our shale gas portfolio gives us additional
high-quality resources with strong growth potential, as well as
proximity to and synergy with existing operations,? said Gary Luquette,
president of Chevron North America Exploration and Production Company.

The acreage, which is principally located in southern Pennsylvania, will
give Chevron an estimated five trillion cubic feet of additional natural
gas resource in its Marcellus Shale operations.

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 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.

Except for the historical and factual information contained herein,
the matters set forth in this press release, including statements as to
the expected benefits of the acquisition such as synergies, competitive
cost structure, growth potential, market profile and financial strength,
and the competitive capabilities of the combined operations, and other
statements identified by words such as 'estimates, 'expects,'
'projects,' 'plans,' 'adds,' and similar expressions are forward-looking
statements within the meaning of the 'safe harbor' provisions of the
Private Securities Litigation Reform Act of 1995. These forward-looking
statements are subject to risks and uncertainties that may cause actual
results to differ materially, including the possibility that the
anticipated benefits from the acquisition cannot be fully realized, the
possibility that costs or difficulties related to the integration of
these operations into Chevron will be greater than expected, the impact
of competition and other risk factors relating to our industry as
detailed from time to time in Chevron's reports filed with the SEC. 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.