Chevron expands in the Gulf

Chevron

, a subsidiary of

has approved the construction of a 55 mile deepwater crude oil pipeline that will connect the Chevron-operated

project to the Amberjack pipeline in the US Gulf of Mexico.

Chevron also approved expanding the pipeline from a 20” diameter to a 24” diameter design that can handle 300,000 barrels of oil per day and accommodate additional discoveries in the Walker Ridge and Green Canyon areas. Chevron expects to invest a total of $3.3 billion this year in US exploration, development and production projects.

“The Tahiti pipeline positions Chevron for near- and long-term sustained production growth in the deepwater Gulf of Mexico,” said Gary Luquette, president of Chevron North America Exploration and Production Company. “The pipeline will serve Chevron's $3.5 billion Tahiti project and may also facilitate the development of other current and future discoveries.”

The 55 mile pipeline will be built by Amberjack Pipeline Company and owned equally by Chevron Pipe Line Company and Shell Pipe Line Company.