Deep Water Gulf of Mexico Brian Smith General Manager, Major Capital Projects

James Cearley General Manager, Exploration

Deep Water Exploration & Projects Chevron North America Exploration and Production Credit Suisse Investor Group, St. Regis Hotel, Houston November 20th, 2008 © Chevron 2007

Cautionary Statement CAUTIONARY STATEMENTS RELEVANT TO FORWARD-LOOKING INFORMATION FOR THE PURPOSE OF “SAFE HARBOR” PROVISIONS OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 This presentation 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,” “projects,” “believes,” “seeks,” “schedules,” “estimates,” “budgets” 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 our 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 presentation. 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 crude oil and natural gas prices; refining margins and marketing margins; chemicals prices and margins; actions of competitors; timing of exploration expenses; 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 OPEC (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 pending or future litigation; the company’s acquisition or disposition of assets; gains and losses from asset dispositions or impairments; government-mandated sales, divestitures, recapitalizations, 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 32 and 33 of the company’s 2007 Annual Report on Form 10-K/A. In addition, such statements could be affected by general domestic and international economic and political conditions. Unpredictable or unknown factors not discussed in this presentation could also have material adverse effects on forward-looking statements. U.S. Securities and Exchange Commission (SEC) rules permit oil and gas companies to disclose only proved reserves in their filings with the SEC. Certain terms, such as “resources,” “undeveloped gas resources,” “oil in place,” “recoverable reserves,” and “recoverable resources,” among others, may be used in this presentation to describe certain oil and gas properties that are not permitted to be used in filings with the SEC. In addition, SEC regulations define oil-sands reserves as mining-related and not a part of conventional oil and gas reserves. © Chevron 2008

2

Why Deep Water? „ Future oil demand is likely to remain strong „ Deep water is where the remaining big reserves are located „ Deep water drilling will account for 25% of Global Deepwater offshore oil production by 2015, compared to just 9% now „ Innovative technologies will allow economic developments © Chevron 2008

3

Chevron Manages a World-Class Portfolio of Projects and Deepwater Operations Faroes

Canada Philippines

U.S.A. Nigeria

Australia

Angola Brazil

Chevron’s Major Deepwater Operations

© Chevron 2008

4

Chevron Manages a World-Class Portfolio of Projects and Deepwater Operations • TCO SGI/SGP

Faroes • Karachaganak II & III

Amauligak • Tahiti

AOSP Expansion Piceance Basin North Duri Philippines Australia

• Gehem

U.S.A. Plataforma Deltana

• Jack

Canada

• St. Malo • Blind Faith

Nigeria

• Agbami • Nigeria

EGTL Angola • Usan

• Gendalo • Frade • Papa-Terra BC-20

• Gorgon • Wheatstone

Chevron’s Major Deepwater Capital Projects Projects shown are >$1Billion C&E net Chevron share except for BBLT © Chevron 2008

• ACG I-III

• Perdido

Brazil • Tombua Landana • BBLT • Angola

LNG

• Nsiko • Bonga

SW/ Aparo

• Olokola

LNG

• Chad

5

’00-’05

'95-‘99

'90-'94

'85-'89

'80-'84

Production

3000

7500

1,063’

6000

Exploration 1,472’

4500

1,680’

Water Depth (f)

1500

'75-'79

'70-'74

'65-'69

0

'60-'64

'55-'59

'50-'54

Industry Production from Deep Water is Moving Deeper at an Increasing Pace

9000 10,500 11,300 © Chevron 2008

Compliant Tower

Empire State Building

Eiffel Tower

6

Technology is Pushing the Envelope on Water Depths “Tahiti” Gulf of Mexico

Under 4,000’ of water and five miles below the seabed

Drilling in depths that only yesterday seemed impossible… © Chevron 2008

7

Deep Water Gulf of Mexico Technical Challenges in Drilling Storms and hurricanes

Sea Level Empire State Building ~500 Meters

8,000’

Gulf of Mexico

Suprasalt Sediment

16,000’

Allochthonous Sigsbee Salt Canopy

24,000’

Upper Tertiary Sediments

32,000’

Lower Tertiary Cretaceous Autochthonous Salt

40,000’ © Chevron 2008

Loop and eddy currents cause vortex induced vibrations and motions to drill strings Unpredictable high pressure gas charged stringers and faults near surface Mobile/flow-able/dissolvable 10,000’ thick salt canopy with unpredictable layers of highly variable trapped sediments Unpredictable base of salt – rapid pressure differentials “Thief zones” of significantly lower pressure which cause lost circulation – fluid loss Ultra-deep reservoir with high temperatures, high pressures and low natural flow-ability

Basement 8

Deep Water Gulf of Mexico GOM Deepwater Well Complexity A Bird’s Eye View

Gulf of Mexico Deepwater Casing Program: 36” – 7 3/4” © Chevron 2008

Conventional Deepwater Casing Program: 30” – 7” 9

Chevron continues to have a strong position in Deep Water discovered fields 1000

Top 50 Gulf of Mexico Deep Water Fields

900

Field size distribution from Wood Mackenzie database

800 Chevron Interest

Trident

Gotcha Blind Faith

K2 Genesis

Puma

Petronius

Tonga

100

Big Foot

200

Tubular Bells

300

Mad Dog St. Malo

400

Jack Knotty Head

500

Tahiti

MMBOE

600

Great White

700

0

© Chevron 2008

10

Chevron’s Deepwater Gulf of Mexico Portfolio Tahiti Development Blind Faith Development Perdido Fold Belt Development Jack Discovery New Orleans Houston

Blind Faith Tubular Bells

Tahiti Tonga

Knotty Head Puma Big Foot

Perdido

St. Malo

Jack © Chevron 2008

Exploration

2007 -2010

Appraisal

Major Capital Projects

11

Major Capital Projects – Gulf of Mexico Tahiti Field Development „ CVX operated (58%) Field Development with Spar and Drill Centers

„ Total capital: $4.7 Billion „ 2 subsea drill centers producing to a truss Spar „ Water Depth: 4000’

„ 125 MBOPD/70 MMCFD peak production „ 400-500 MMBOE potentially recoverable „ Current Activity: Hull and Topsides installed. HUC underway

© Chevron 2008

12

Major Capital Projects – Gulf of Mexico Tahiti Spar Transported to Texas

© Chevron 2008

13

Major Capital Projects – Gulf of Mexico Tahiti Spar Transported Offshore and Uprighted

© Chevron 2008

14

Major Capital Projects – Gulf of Mexico Topsides Installation Completed August 8th, 2008

© Chevron 2008

15

Major Capital Projects – Gulf of Mexico Blind Faith Project Topsides construction, Louisiana

New Orleans Tahiti

Blind Faith

Perdido Fold Belt

© Chevron 2008

„

CVX operated (75%)

„

Subsea wells producing to a Semi-submersible facility

„

Water Depth: 7,000’

„

60 MBOPD/60 MMCFD peak production

„

First Oil: 2008

„

100 MMBOE potentially recoverable

Hull fabrication, Finland

16

Topsides Lift at Kiewit

© Chevron 2008

17

Blind Faith – Ready to Leave Kiewit

© Chevron 2008

18

Blind Faith – Under Tow, on Location, control room and first oil

© Chevron 2008

19

Perdido Regional Development

New Orleans Tahiti

Blind Faith

Perdido Fold Belt

Silvertip Chevron = 60% Shell(Op)

Whale (Explor) Chevron = 100%

• Chevron has interest in multiple discoveries and in the Regional Development Host

Whale Silvertip

’

Perdido Regional Host & Export Pipeline

• 8,000’- 9,500’ water depth • 215 miles to shore • 65 miles to nearest infrastructure

AC 856 Total/Nexen

Tobago

• Development drilling and ,,,, facilities fabrication underway Trident

Great White Great White Chevron = 33.3% Shell(Op), BP

© Chevron 2008

Tobago Chevron = 57.5% Shell(Op), Nexen

Trident Chevron (Op) = 70% Statoil, ENI, Devon

20

Perdido Fields Layout Key Features : • Well Count •26 Producers •5 Injectors •

Regional Direct Vertical Access Host

Silvertip

Name Plate Capacity •100,000 BOPD •200 MMCFPD •40,000 BWPD •80,000 BWPD Water Injection

Subsea Separator/Boosting System (SBS)

Water injectors

Tobago Frio Pilot © Chevron 2008

Southwest Cluster

21

Perdido Hull Offshore

© Chevron 2008

22

Miocene & Lower Tertiary Discoveries in the Deepwater Gulf of Mexico

© Chevron 2008

23

Emerging Lower Tertiary Trend Jack #2 Well Test Results „ Drilled to a total depth of 28,175 feet „ Completed and tested in 7,000 feet of water, and more than 20,000 feet under the sea floor „ During the test, sustained a flow rate of more than 6,000 barrels of crude oil per day „ Testing represented approximately 40 percent of the total net pay measured in the well

© Chevron 2008

24

Deep Water GOM Wells are among the Most Technically Challenging in the World Examples where we push the envelope… „ Deepest successful well test in the U.S. Gulf of Mexico with Jack 2 (28,175’), a well situated in 7,000 feet (2,135 meters) of water and extending more than 20,000 feet (6,100 meters) beneath the seafloor „ New drilling depth record (34,189’) for the U.S. Gulf of Mexico at Knotty Head „ World record for successfully drilling a well in the deepest water depth (10,011’) in the Perdido Fold Belt © Chevron 2008

25

Success Requires Expertise in Critical Technologies Challenge

Technology „ Regional Geology „ Seismic Imaging „ Drilling

„ Extensive Salt Canopy „ Structural Complexity „ Few Wells

6,000’ (1800 m)

7,500’ (2300 m)

10000’ (3000 m)

Mexico

13

00

’ (4

00

m)

US

© Chevron 2008

26

Development Scale Subsalt Imaging Detailed velocity modeling results in significantly improved images Regional Velocity Model

Development Scale Velocity Model

Data Courtesy of WesternGeco

The latest seismic acquisition technologies, analysis of the sediment velocity field and detailed salt modeling are key to delivering high quality images in the Deepwater. 27 © Chevron 2008

Deep Water Drilling & Completions Meeting Future Technology Challenges

Drilling and completions technology Integrated technology solution „ Seismic imaging „ Reservoir modeling „ Rock mechanics „ Drilling operations „ Real-time monitoring

Live video camera and feed from rig © Chevron 2008

28

Deep Water Technology Breakthrough New Deep Water Drillship „ Most advanced drilling capabilities „ Dynamically positioned, with double-hull „ Two drilling systems in a single derrick „ Stronger and more efficient top drive so wells can be drilled deeper „ Other unique features will target drilling wells up to 40,000 feet of total depth

Transocean’s Discoverer Clear Leader

„ Variable deckload of over 20,000 metric tons; capable of drilling in water depths of up to 12,000 feet © Chevron 2008

29

Deep Water Facilities/Infrastructure Meeting Future Technology Challenges Future Floating Production System Model

~500 Meters

Compliant Tower

„ Reliability of Facilities/Systems „ Flow Assurance of Product „ Long Distance Tiebacks „ Well Intervention Cost Reduction © Chevron 2008

30

Summary Deepwater is a complex, risky, and costly environment. Many technical challenges remain to be solved. The industry is focused on finding solutions and providing the needed creativity and collaboration. „ Capable People „ World Class Safety Performance „ Innovative Technology „ Strong Partnerships © Chevron 2008

31

© Chevron 2008

32