Chevron to Boost Plant’s Chemical Production

Chevron Corp., the fourth-biggest U.S. oil company, said it will double production of chemicals used in plastics and synthetic lubricants at its Baytown, Texas, facility to meet growing demand. San Francisco-based Chevron said it will build a new alpha olefin plant at its Chevron Chemical subsidiary’s Cedar Bayou, Texas, facility, boosting total capacity in Baytown to 1.5 billion pounds annually from 750 million pounds. The new plant will allow San Ramon-based Chevron Chemical to introduce newer production methods so it can make products that can be used in a wider range of applications, Chevron said. Construction is scheduled to begin in December and is expected to be completed by mid-2000. The new plant could be expanded to produce 250 million more pounds annually, a Chevron spokesman said. Chevron shares rose $3.63 to close at $84.69 on the New York Stock Exchange.