30-Aug-2001 -

Chevron to begin construction on polyethylene pipe plant in Kazakhstan

ATYRAU, KAZAKHSTAN, Aug. 29, 2001 -- Chevron Munaigas Inc. announced today that construction is to begin on the first high-density polyethylene pipe manufacturing facility in Kazakhstan. The plant will produce plastic pipe that can be used in irrigation, sewer, water and gas distribution systems.

Serikbek Daukeev, Akim of the Atyrau oblast and Guy Hollingsworth, managing director, Eurasia business unit, Chevron Overseas Petroleum Inc., are scheduled to participate in groundbreaking ceremonies today in Atyrau.

Construction of the state-of-the-art plant is scheduled to take about 20 months.

"Chevron is excited about investing in this world class facility here in Atyrau," said Guy Hollingsworth, managing director of Chevron Overseas Petroleum Inc.'s Eurasia business unit. "We hope that the creation of new jobs and bringing new technology to the region will be an important contribution to the import substitution program implemented by Kazakhstan's leadership."

"Chevron will use the latest technology, environmental and conservation methods to ensure that the plant is constructed and operated in a safe, efficient and environmentally responsible manner," said Hollingsworth.

Polyethylene pipe has characteristics, such as its resistance to corrosion and ease of installation that makes it a superior choice for many pipe applications. The plant will have an initial production capacity of 15 million pounds of pipe each year and can be expanded to handle additional production in the future.

Chevron was the first major Western oil company to invest in Kazakhstan and holds a 50 percent interest in the Tengizchevroil joint venture. In addition, the company is the largest private shareholder of the Caspian Pipeline Consortium, and has retail operations in the region.

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