Chevron Issues Interim Update for Second Quarter 2012

Chevron Corporation (NYSE: CVX) today reported in its interim update
that earnings for the second quarter 2012 are expected to be higher than
first quarter 2012. Upstream results are projected to be lower between
sequential quarters, due to lower average crude oil prices, partially
offset by foreign exchange gains. Downstream earnings in the second
quarter are expected to be significantly higher, reflecting improved
refining margins and gains on asset sales.

Basis for Comparison in Interim Update

This interim update contains certain industry and company operating data
for the second quarter 2012. 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 full
quarterly results to be reported on July 27, 2012. The reader should not
place undue reliance on this data.

Readers are advised that portions of the commentary below compare
results for the first two months of the
second quarter 2012 to full first quarter
2012 results, as indicated.

UPSTREAM

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 reflect actual liftings, which may differ from production due
to the timing of cargoes and other factors.

U.S. net oil-equivalent production increased 14,000 barrels per day
during the first two months of the second quarter, largely reflecting
increased production in the Gulf of Mexico. International net
oil-equivalent production during the first two months of the second
quarter decreased 30,000 barrels per day. Continued shut-in of
production at the Frade field in Brazil and planned maintenance in
Kazakhstan contributed to the majority of the decline. Production
ramp-up at Usan in Nigeria partially offset these effects.

U.S. crude oil realizations during the first two months of the second
quarter were in line with first quarter prices, reflecting the typical
monthly lag on pricing in the Gulf of Mexico. International liquids
realizations decreased $5.56, to $104.47 per barrel. U.S. natural gas
realizations decreased $0.43 to $2.05 per thousand cubic feet, while
international natural gas realizations increased $0.35 per thousand
cubic feet during the first two months of the second quarter.

DOWNSTREAM

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.

For the full second quarter, U.S. refining and marketing margins
increased compared to first quarter 2012, while international refining
margins decreased over the same period.

International downstream earnings in the second quarter are expected to
include gains of approximately $200 million from asset sales.
Additionally, favorable inventory effects are projected to benefit
earnings consistent with the sharp decline in crude and product prices
toward the end of the second quarter.

During the first two months of the second quarter, U.S. refinery
crude-input volumes were in line with the first quarter. International
refinery crude-input volumes increased 74,000 barrels per day compared
to the first quarter, largely reflecting completion of planned
maintenance at the Yeosu, South Korea and Cape Town, South Africa
refineries.

ALL OTHER

The company′s general guidance for the quarterly net after-tax charges
related to corporate and other activities is between $300 million and
$400 million. Due to the potential for non-ratable accruals related to
income taxes, pension settlements, environmental and other matters,
actual results may significantly differ from the guidance range.

NOTICE

Chevron′s discussion of second quarter 2012 earnings with security
analysts will take place on Friday, July 27, 2012, at 8:00 a.m. PDT.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.

CAUTIONARY STATEMENTS RELEVANT TO FORWARD-LOOKING INFORMATION

FOR
THE PURPOSE OF 'SAFE HARBOR'' PROVISIONS OF THE

PRIVATE
SECURITIES LITIGATION REFORM ACT OF 1995

This interim update of Chevron Corporation 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,? 'forecasts,?
'projects,? 'believes,? 'seeks,? 'schedules,? 'estimates,? 'budgets,?
'outlook? 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; changing refining, marketing and
chemical 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; 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 29
through 31 of the company′s 2011 Annual Report on Form 10-K. In
addition, such results could be affected by general domestic and
international economic and political conditions. Other unpredictable or
unknown factors not discussed in this interim update could also have
material adverse effects on forward-looking statements.

Chevron Corporation

Lloyd Avram, +1-925-790-6930