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Chevron Corporate Responsibility Report 2010

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The<br />

Environment<br />

Above: The marshland at the refinery is a nourishing habitat for protected and<br />

endangered species. Great blue herons (left), egrets and mallards are some of<br />

the animals that make it their home.<br />

Improving Operations<br />

We continually strive to minimize air<br />

emissions and waste, use resources<br />

and energy efficiently, and minimize<br />

environmental impact.<br />

The Richmond Advanced Recycled<br />

Expansion (RARE) Water Project is<br />

one example of our collabo rative<br />

approach. In drought-prone California,<br />

fresh water has always been a valuable<br />

commodity. Population growth<br />

and stringent environmental regulations<br />

have increased its value. Water<br />

is also an essential component in oil<br />

refining, with each gallon of oil refined<br />

requiring one gallon of high-quality<br />

water. We are the San Francisco<br />

Bay Area’s largest refinery and thus<br />

the largest water customer for the<br />

East Bay Municipal Utility District<br />

(EBMUD), requiring about 11 million<br />

gallons a day.<br />

To reduce water use, the refinery and<br />

EBMUD completed a plant in <strong>2010</strong> to<br />

treat municipal wastewater for our<br />

steam-producing boilers. Each day,<br />

RARE sends 3.5 million gallons of<br />

treated wastewater to the refinery,<br />

in addition to the 4 million gallons<br />

of reclaimed water already used in<br />

the refining process. RARE saves<br />

enough drinking water to serve about<br />

a quarter of Richmond’s population<br />

and could reduce severe rationing<br />

in future droughts. “This cooperative<br />

effort,” said Lesa McIntosh, an<br />

elected board director of EBMUD,<br />

“will benefit water customers well<br />

into the future.”<br />

Refinery air emissions have been a<br />

source of concern for the community.<br />

By installing new technologies and running<br />

plants more efficiently, we have<br />

reduced regulated air emissions by<br />

70 percent since the 1970s. A refinerywide<br />

flare-minimization program that<br />

began in 2007 has helped decrease<br />

flaring by more than 97 percent. As the<br />

region’s largest refinery, the Richmond<br />

Refinery represents approximately<br />

38 percent of oil refining capacity in<br />

the Bay Area but less than 1 percent<br />

of the volume of vented gas flared<br />

in 2009.<br />

While we have made progress, there is<br />

still work to be done. “Reestablishing<br />

a strong relationship and trust won’t<br />

happen overnight, and we are deeply<br />

committed to fulfilling that goal,” Coyle<br />

said. “We’ve recently taken some significant<br />

steps, but this commitment is a<br />

marathon, not a sprint.”<br />

Our efforts to reduce<br />

flaring and increase<br />

water efficiency in<br />

Richmond illustrate our<br />

continued commitment<br />

to minimize pollution<br />

and waste, conserve<br />

natural resources, and<br />

reduce the environmental<br />

impact of our<br />

operations.<br />

Across the company, we developed<br />

a corporate environmental<br />

stewardship process that provides<br />

a consistent, systematic,<br />

risk-based approach to managing<br />

aspects of the environment,<br />

including air, water, biodiversity<br />

and waste.<br />

For example, in <strong>2010</strong>, we developed<br />

an integrated, corporatewide<br />

freshwater management plan<br />

to enhance current activities on<br />

water stewardship.<br />

To learn more about our environmental<br />

stewardship, please visit<br />

<strong>Chevron</strong>.com/Environment.<br />

17

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