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Chevron Issues Update to Climate Report for Investors

SAN RAMON, Calif.–(BUSINESS WIRE)–Chevron Corporation (NYSE: CVX) today published an update to its March
2018 report describing the company’s approach to managing climate change
risks and its resilience under a low carbon scenario. The update
supplements Climate
Change Resilience: A Framework for Decision Making
with new
information on the company’s governance framework and climate change
related actions and investments.

“This update highlights work we are doing to address climate change
risks to our business and new opportunities we’re pursuing. It
incorporates responses to some of the thoughtful insights stockholders
have shared with us during our engagements,” said Michael Wirth,
Chevron’s chairman and chief executive officer. “We look forward to
ongoing conversations on how we are managing climate risks to our
business and taking on new opportunities to reduce greenhouse gas
emissions and develop lower carbon energy.”

In response to discussions with investors and other stakeholders,
Chevron is providing more insight on climate change governance. This
includes information about how the Board of Directors and executive
leadership exercise their oversight responsibilities with respect to
climate change.

The Board established greenhouse gas emissions performance measures that
will be a factor in determining compensation for executives and nearly
all other employees beginning in 2019. The metrics aim to reduce methane
emissions intensity by 20 to 25 percent and flaring intensity by 25 to
30 percent from 2016 – 2023, aligned with the timing of milestones in
the Paris Agreement. The intensity will be measured based on Chevron’s
equity ownership of oil and gas assets, not just the projects over which
Chevron has operational control. Chevron will report on annual
achievement of methane and flaring performance measures as part of its
Annual Proxy Statement in 2020.

The company has also created an Environmental, Social and Governance
(ESG) team which regularly engages with investors and other key
stakeholders to understand and respond to ESG reporting preferences.
Chevron continues to align its reporting with the framework outlined by
the Financial Stability Board’s Task Force on Climate-Related Financial
Disclosures (TCFD).

“We take our corporate responsibility seriously. I am pleased that
Chevron is providing this update to its previous reports on climate
risks. In prior engagements with stockholders, I have reinforced the
important role the Board plays in overseeing Chevron’s management of
climate change risks and its assessment of opportunities,” said Dr.
Ronald Sugar, lead independent director for Chevron’s Board of Directors.

Additionally, in 2018, the company joined the Oil and Gas Climate
Initiative, a global collaboration focused on industry’s efforts to
address climate change issues. Chevron continues to invest in companies
and technology designed to lower emissions and advance lower-carbon
business opportunities.

Chevron Corporation is one of the world's leading integrated energy
companies. Through its 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 petrochemicals and additives; generates power;
and develops and deploys technologies that enhance business value in
every aspect of the company's operations. Chevron is based in San Ramon,
Calif. More information about Chevron is available at www.chevron.com.

As used in this news release, the term “Chevron” and such terms as
“the company,” “the corporation,” “our,” “we,” “us” and “its” may refer
to Chevron Corporation, one or more of its consolidated subsidiaries, or
to all of them taken as a whole. All of these terms are used for
convenience only and are not intended as a precise description of any of
the separate companies, each of which manages its own affairs.

CAUTIONARY STATEMENTS RELEVANT TO FORWARD-LOOKING INFORMATION FOR THE
PURPOSE OF “SAFE HARBOR” PROVISIONS OF THE PRIVATE SECURITIES LITIGATION
REFORM ACT OF 1995

This news release 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 or phrases such as
“anticipates,” “expects,” “intends,” “plans,” “targets,” “forecasts,”
“projects,” “believes,” “seeks,” “schedules,” “estimates,” “positions,”
“pursues,” “may,” “could,” “should,” “will,” “budgets,” “outlook,”
“trends,” ”guidance,” “focus,” “on schedule,” “on track,” "is slated,”
“goals,” “objectives,” “strategies,” “opportunities,” 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, many 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 news 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.

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
chemicals margins; the company's ability to realize anticipated cost
savings and expenditure reductions; 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 the company's suppliers, vendors, partners and
equity affiliates, particularly during extended periods of low prices
for crude oil and natural gas; 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
operations due to war, accidents, political events, civil unrest, severe
weather, cyber threats and terrorist acts, crude oil production quotas
or other actions that might be imposed by the Organization of Petroleum
Exporting Countries, or other natural or human causes beyond the
company’s control; changing economic, regulatory and political
environments in the various countries in which the company operates;
general domestic and international economic and political conditions;
the potential liability for remedial actions or assessments under
existing or future environmental regulations and litigation; significant
operational, investment or product changes required by existing or
future environmental statutes and regulations, including international
agreements and national or regional legislation and regulatory measures
to limit or reduce greenhouse gas emissions; the potential liability
resulting from other pending or future litigation; the company’s future
acquisition or disposition of assets or shares or the delay or failure
of such transactions to close based on required closing conditions; the
potential for gains and losses from asset dispositions or impairments;
government-mandated sales, divestitures, recapitalizations,
industry-specific taxes, tariffs, sanctions, changes in fiscal terms or
restrictions on scope of company operations; foreign currency movements
compared with the U.S. dollar; material reductions in corporate
liquidity and access to debt markets; the effects of changed accounting
rules under generally accepted accounting principles promulgated by
rule-setting bodies; the company's ability to identify and mitigate the
risks and hazards inherent in operating in the global energy industry;
and the factors set forth under the heading “Risk Factors” on pages 19
through 22 of the company’s 2017 Annual Report on Form 10-K. Other
unpredictable or unknown factors not discussed in this news release
could also have material adverse effects on forward-looking statements.

Contacts

Sean Comey — +1 925-842-5509