Chevron To Build New Unit to Increase U.S. Gasoline Production

Will increase production at refinery by 10%

Chevron U.S.A. Inc. will build a major gasoline production unit at its refinery in Pascagoula, Miss. with the goal of increasing production by 10%, or about 600,000 gallons per day.

The Continuous Catalyst Regeneration (CCR) Project, estimated to cost around $500 million, is due to begin in early 2008 with completion anticipated by mid-2010. The new CCR unit will improve equipment reliability and utilization, and allow the refinery to optimize product yields.

"This project t further demonstrates our commitment to investing in the flexibility and reliability of our global refining network and expanding production of clean-burning transportation fuels increasingly in demand by our customers," said Jeet Bindra, Chevron Global Refining president.

The new unit with updated refinery technology will replace two process units constructed more than 30 years ago. Crude oil capacity at the refinery will remain the same.

Since 2005, Chevron has developed other projects that have increased its gasoline manufacturing capacity in the U.S. by about 1 million gallons per day.

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