Climate Change Data

Environmental Metrics

ESG Focus Areas

• Corporate Governance
• Ethical Business Practices
• Human Rights
• Labor Issues

Environmental Achievements

• Printed annual report on recyclable and recycled papers

Social Achievements

• Updated Code of Conduct to include training, monitoring, reporting and enforcement mechanisms; added new sections on human rights and labor issues.
• Three new independent directors elected to Unocal’s board

Governance Achievements

• Revised Code of Conduct and Corporate Governance Principles; strengthened Board of Directors’ independence and ability to evaluate corporate and management performance.

Climate Goals & Targets

Environmental Challenges

• Technical problems slowed initial production at West Seno field in Indonesia
• Mixed results from Gulf of Mexico deep shelf exploration program

Mitigation Strategies

• Expected West Seno production to increase throughout 2004 as additional wells come online and technical issues are resolved
• Scaled back capital allocated to the deep shelf for 2004; exploration results will continue to shape the pace and scale of the program

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Elimination of routine flaring in Block 14. Sanha Condensate Project eliminates approximately half of the flaring in Block 0.
• Reduced malaria cases by 60 percent among employees and dependents since 2004.
• Protection of endangered sea turtles and their habitat

Social Achievements

• Invested approximately $22.1 million for community development projects, charitable donations and other activities in 15 of Angola’s 18 provinces.
• Launched the Angola Partnership Initiative (API) in 2002, investing $25 million and leveraging another $31 million in matching funds.
• Supported health improvement programs reaching nearly 582,000 people.
• Contributed $5 million to the Global Fund to fight malaria.
• Supported HIV/AIDS programs, including community outreach, education, and activism.
• Supported free, voluntary HIV/AIDS testing and provided powdered milk to nearly 2,500 HIV-positive mothers.
• Immunized 472,000 children in Cabinda and Uige provinces in the Wild Polio Virus (WPV) vaccination campaign.
• Launched the Integrated Management of Childhood Illnesses program in Cabinda.
• Financed the construction of a new health center in Macanga Grande.
• Provided access to quality drinking water for more than 5,000 people.
• Invested more than $3.7 million in education projects and programs, benefiting nearly 10,000 students and teachers.
• Supported the Discovery Channel Global Education Partnership project (DCGEP), benefiting almost 57,000 students.
• Completed two new schools and the rehabilitation of four more schools.
• Supported the development of small- and medium-sized enterprises (SMEs) through micro-finance, business support services, and vocational training.
• Developed a financial and operational plan that helped grow an orphanage’s bakery, tripling its production and increasing sales by 300 percent.
• Supported agricultural and fishing projects, including the ProAgro project, which created 480 new jobs in Benguela alone.
• Funded several community-selected projects, including road rehabilitation.
• Sponsored various arts and culture events.

Governance Achievements

• Commitment to conducting business in a manner that is both ethical and socially responsible (The Chevron Way).
• Maintained a workplace safety record in the “world-class” category, reaching the milestone of five million workforce hours without a day-away-from-work incident four times during the year.

Climate Goals & Targets

Environmental Challenges

• Reducing child mortality rates
• Improving health care for mothers and children
• Combating HIV/AIDS, malaria, and tuberculosis
• Creating a safe blood supply
• Expanding access to quality primary, secondary, and tertiary education
• Eradicating extreme poverty and hunger
• Diversifying the economy
• Developing capacities of government institutions and Angolan civil society organizations
• Providing access to safe drinking water
• Lack of credentialed teachers
• Routine flaring of natural gas

Mitigation Strategies

• Investing in health sector programs
• Contributing to the Global Fund to fight malaria
• Implementing HIV/AIDS awareness campaigns
• Supporting education projects and programs
• Investing in SME development through micro-finance and training
• Implementing the Gas Management Project to eliminate routine flaring by re-injecting excess gas into the reservoir.
• Implementing the Takula Gas Processing Platform, Cabinda Gas Plant, Flare and Relief System Modification (FARM), and Nemba Flare Reduction Project to manage surplus gas.

Supply Chain Management

Responsible Procurement

• Expanding supplier network by purchasing from local companies

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Economic Development
• Health
• Education
• Environment
• Community Development
• Capacity Building
• Agriculture
• Small and Medium Enterprises (SMEs)
• Safety

Environmental Achievements

• Reduced routine flaring by 60 million cubic feet per day in Block 0 Area A.
• Zero flare and zero discharge of produced water at the Tombua Landana facility.
• Sea turtle protection program in Cabinda.

Social Achievements

• Invested nearly $16.4 million in community, social, and economic development projects, benefiting over 2.5 million people.
• Supported over 5,500 banana producers through the ProAgro program, increasing average yields.
• Launched the Angola Partnership Initiative (API), investing $25 million and leveraging $31 million in matching funds.
• Supported the creation of Horizonte Azul bakery, a self-sustaining business.
• Provided training and support to Angolan businesses, leading to job creation and economic growth.
• Improved access to potable water for over 3,800 people through the Cabinda Rural Water Supply Project.
• Donated 500 wheelchairs to the Lwini Foundation.
• Supported over 15 orphanages, providing food for approximately 6,700 children.
• Sponsored the “Pink March” for breast cancer awareness.
• Launched a national awareness campaign on road safety.
• Improved access to quality education through school construction, teacher training, and scholarships.

Governance Achievements

• Developed sustainable local content, spending approximately $1.1 billion with Angolan-owned businesses.
• Implemented Angolanization program, increasing Angolan workforce to 86.1%.

Climate Goals & Targets

Environmental Challenges

• Natural gas flaring
• Limited access to potable water in rural areas
• Need for improved education and healthcare
• Developing sustainable local content

Mitigation Strategies

• Implemented gas management projects to reduce flaring.
• Invested in water supply projects.
• Invested in education and healthcare programs.
• Developed sustainable local content program, supporting Angolan businesses.

Supply Chain Management

Responsible Procurement

• Developed sustainable local content program

Climate-Related Risks & Opportunities

Awards & Recognition

• U.S. Chamber of Commerce Corporate Citizenship Award

Environmental Metrics

ESG Focus Areas

• Operational Excellence
• Process Safety
• Workforce Safety
• Environmental Stewardship
• Biodiversity
• Economic Development
• Social Investment
• Health

Environmental Achievements

• Lowest spill volumes ever recorded in 2012
• Reduced flaring volumes by 92% in Tengiz Field, Kazakhstan
• Reduced sulfur inventory by 68% since 2005 in Tengiz Field, Kazakhstan
• Reduced gas flared and vented in Upstream operations by 41% since 2003
• Reduced greenhouse gas emissions from flaring and venting by 20% since 2003

Social Achievements

• 40 million work hours in Bangladesh since last Days Away From Work injury in 2008
• No significant environmental incidents, fires, or spills in Bangladesh
• More than 2,000 people trained in Bangladesh's new Health, Environment, and Safety training center
• Improved contractor safety performance in Bangladesh through training and mentoring
• Launched programs to strengthen capabilities of small-scale fishermen in Angola
• Provided more than $250 million toward community infrastructure projects in Onslow, Australia
• Invested more than $270 million in health, education, and economic development programs worldwide in 2012
• No reports of mother-to-child transmission of HIV among employees or their dependents for eight years in Angola and twelve years in Nigeria

Governance Achievements

• Received the Diversity Leader Award from Profiles in Diversity Journal for the 3rd year in 2012
• Ranked in the top tier of the energy sector in the Carbon Disclosure Project’s 2012 questionnaire
• Achieved a rating of 100% on the Human Rights Campaign Corporate Equality Index for the eighth consecutive year

Climate Goals & Targets

Environmental Challenges

• Incidents in 2012: January fire aboard the KS Endeavor drilling rig and August fire at the Richmond, California refinery
• Aging infrastructure and increasing complexity of operations
• Potential supply risk of fresh water for Tengizchevroil operations
• Community concerns about water quality and reduced fish levels in Cabinda, Angola
• High concentrations of sulfur in Tengiz crude oil
• Mother-to-child transmission of HIV in Nigeria, Angola, and South Africa

Mitigation Strategies

• Investigations of incidents and implementation of improvements in processes and operations
• Intensified focus on operational discipline through deployment of coaches
• WELLSAFE certification program to prevent well-control incidents
• Water conservation through reuse and recycling at Tengizchevroil
• Water quality and fish health assessment in Cabinda, Angola
• Processing sulfur into marketable products to reduce inventory
• Partnerships with NGOs to combat HIV/AIDS and eliminate mother-to-child transmission

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Spent more than $60 billion on goods and services globally in 2012
• Commitment to supporting economic growth by providing contracts to local businesses

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI G3.1, API/IPIECA Oil and Gas Industry Guidance on Voluntary Sustainability Reporting

Certifications: ISO 14001

Third-party Assurance: Lloyd’s Register Quality Assurance, Inc. (LRQA)

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Excellence in Flaring Reduction Award from Global Gas Flaring Reduction Partnership

Environmental Metrics

ESG Focus Areas

• Safety
• Environmental Performance
• Social Investment
• Operational Excellence

Environmental Achievements

• Delivered best overall year in personal safety, as measured by recordable injuries and injuries requiring time away from work, and in process safety as measured by loss of containment incidents.
• Record lows in process fires, petroleum spill volume and motor vehicle crash rate.
• Days Away From Work Rate declined by 83 percent, Total Recordable Incident Rate improved by 55 percent, and Motor Vehicle Crash Rate declined by 50 percent in the last decade.

Social Achievements

• Launched a three-year $10 billion divestment program, obtaining $5.7 billion in asset sales during the first year.
• Contributed approximately $1.7 billion in social investments over the past nine years, focusing on health, education and economic development.
• Maintained strong social performance, investing in projects and local goods and services, creating jobs, and generating revenues for the communities in which they work.

Governance Achievements

• Increased annual dividend for the 27th consecutive year.
• Purchased $5.0 billion of its common stock in 2014 under its share repurchase program.

Climate Goals & Targets

Environmental Challenges

• Precipitous drop in crude oil prices in the second half of the year.
• Volatile market conditions.
• Lower crude oil margins and higher depreciation expense in upstream.

Mitigation Strategies

• Maintained focus on providing affordable and reliable energy, safely and responsibly.
• Continued to be guided by strategic plan and rigorous processes to remain a top competitor.
• Significant efforts underway to manage to a lower cost structure and capital spend rate.
• Announced a 2015 capital and exploratory budget of $35 billion (13 percent lower than 2014).

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Governance and ethics
• Human rights
• Environmental stewardship
• Climate change and energy efficiency
• Water
• Creating prosperity

Environmental Achievements

• Achieved record lows in petroleum spill volume and Total Recordable Incident Rate
• Reduced natural gas flaring and venting to minimize greenhouse gas emissions
• Received an overall score of 99 out of 100 points in the 2015 CDP S&P 500 Climate Change Report

Social Achievements

• Made approximately $1.9 billion in social investments in local communities over the past 10 years; $233 million in 2015 alone
• Focused social investments in health, education, and economic development
• Spent $54 billion on goods and services globally in 2015, with significant portion directed to local communities and small businesses

Governance Achievements

• Reinforced ethical standards with service providers, underlining expectation of adherence to human rights policies
• Achieved a 100 percent rating on the Human Rights Campaign Corporate Equality Index for the 11th consecutive year
• Strong corporate governance structures and practices overseen by the Board of Directors and its committees

Climate Goals & Targets

Environmental Challenges

• Three contractor fatalities in 2015
• Climate change risks and the contribution of fossil fuels to rising greenhouse gases

Mitigation Strategies

• Thorough investigation of each fatality to understand root causes and implement preventative solutions
• Commitment to managing GHG emissions by reducing flaring and venting, improving energy efficiency, and applying innovative technologies
• Development and implementation of a more systematic energy management practice

Supply Chain Management

Responsible Procurement

• Encouraging suppliers to respect human rights and adhere to ILO core principles
• Sending a letter to senior leaders of more than 400 goods and services companies outlining Chevron’s commitment to respecting human rights

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: IPIECA/API/IOGP Oil and gas industry guidance on voluntary sustainability reporting

Certifications: ISO 14001:2004, OHSAS 18001:2007

Third-party Assurance: Lloyd’s Register Quality Assurance Ltd. (LRQA)

UN Sustainable Development Goals

• Goal 3
• Goal 4
• Goal 7
• Goal 8
• Goal 15
• Goal 17

Many business and corporate responsibility activities support the SDGs, particularly those listed.

Awards & Recognition

• American Fuel & Petrochemical Manufacturers’ Distinguished Safety Award—Platinum
• Corporate Responsibility Magazine 100 Best Corporate Citizens
• Dow Jones Sustainability Index North America
• Louisiana Wildlife Federation Business Conservationist of the Year Award
• Newsweek Green Rankings
• S&P 500 Climate Disclosure Leadership Index
• Society for International Development Leadership in Development
• Catalyst Award
• The Economist Global Diversity List
• Glassdoor Best Places to Work

Environmental Metrics

ESG Focus Areas

• Safety
• Environmental
• Social
• Governance

Environmental Achievements

• Successful turnaround at Pascagoula Refinery Fluidized Catalytic Cracking Unit completed with no flaring
• Reduced routine gas flaring by more than 90 percent in the Niger Delta (Nigeria)
• Reduced flare gas volumes in Angola by more than 50 percent since 2012
• Reduced energy intensity by 27 percent from 2014 to 2016 in the IndoAsia business unit
• Gorgon Project anticipated to reduce greenhouse gas emissions by up to 4 million metric tons per year

Social Achievements

• Zero Days Away From Work injuries among 8,800 workers over a 40-day period at Tengizchevroil joint venture
• More than $185 million in social investments globally focusing on health, education, and economic development
• Spent $39 billion on goods and services globally in 2016
• Achieved a score of 100 percent on the Human Rights Campaign Corporate Equality Index for the 12th consecutive year

Governance Achievements

• Board of Directors oversees risk management policies and practices
• Public Policy Committee assists the Board in overseeing risks related to social, political, environmental, human rights, and public policy aspects of Chevron’s business
• Ethical, knowledgeable, and diverse board

Climate Goals & Targets

Environmental Challenges

• 10 work-related fatalities (9 contractors, 1 employee) in 2016
• Greenhouse gas emissions from fossil fuel use
• Managing water resources responsibly
• Potential impacts on communities and the environment from operations

Mitigation Strategies

• WellSafe program to assure well and reservoir fluids are under control
• Investments in flare reduction, carbon dioxide injection, and improved energy efficiency
• Use of brackish water in lieu of fresh water in the Permian Basin
• Environmental turnaround plans to minimize environmental risks from refinery turnarounds
• Operational Excellence Management System (OEMS) to manage process safety, personal safety and health, the environment, reliability, and efficiency
• Stop-Work Authority for employees, contractors, and business partners
• Stakeholder Engagement process to manage community input and issues
• Human Rights Policy and training to manage potential human rights impacts

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Requires suppliers to conduct business in a manner that protects people and the environment and complies with Chevron policies and applicable laws

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Regulatory changes, market shifts

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: IPIECA/API/IOGP Oil and gas industry guidance on voluntary sustainability reporting

Certifications: ISO 14001:2004, OHSAS 18001:2007

Third-party Assurance: Lloyd’s Register Quality Assurance, Inc.

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Corporate Responsibility Magazine 100 Best Corporate Citizens
• Dow Jones Sustainability Index North America
• Fortune Magazine 20 Most Generous Companies
• Newsweek Green Rankings

Environmental Metrics

ESG Focus Areas

• Environmental, social and governance (ESG)
• Climate change

Environmental Achievements

• Maintained industry-leading personal safety rates and outperformed targets for several core metrics.
• Developed and deployed tools to assure that safeguards are in place and functioning before beginning high-risk work.
• Published a new, more in-depth report that addresses our framework for incorporating climate change into our governance, risk management, strategy, and actions and investments.

Social Achievements

• Invested more than $1.1 billion in social investments globally over the past five years, consistently placing Chevron in the top quartile of Fortune 100 companies in these investments.
• Improved returns by further reducing expenses and by generating increased revenues as we brought projects on line.
• Chevron is in the business of progress – providing the energy to help local communities and economies grow and thrive.

Governance Achievements

• Engaged with stockholders to better understand their questions about climate change related to our business (45 ESG engagements representing 36% of Chevron common stock).
• The Board regularly assesses climate change risks and opportunities throughout the year.
• The Board recently endorsed a second, more detailed voluntary report on climate change related to Chevron.

Climate Goals & Targets

Environmental Challenges

• Heightened geopolitical tensions throughout the world added uncertainty to markets.
• Ongoing tensions on the Korean Peninsula, continued strain in the Middle East and challenging economic conditions across oil exporting economies.
• Climate change is a subject of growing interest for investors, stakeholders and the public.

Mitigation Strategies

• Adjusted to challenging conditions during the downturn in commodity prices that began in 2014.
• Delivered on commitments to generate winning performance in any price environment.
• Integrated climate change considerations into its risk management, governance and business planning processes.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Climate Change
• Safety
• Community Investment
• Human Capital Management
• Diversity and Inclusion

Environmental Achievements

• Gorgon Carbon Dioxide Injection Project reduced greenhouse gas emissions from the Gorgon Field project by approximately 40 percent.
• Best year ever in health, environment and safety performance, with no fatalities of employees or contractors in any of our operations.

Social Achievements

• Invested more than $1 billion in global social programs.
• Provided more than $60 million to the Global Fund, contributing to its success in saving more than 27 million lives.
• Launched the $100 million Future Energy Fund to invest in breakthrough technologies.

Governance Achievements

• Increased transparency in lobbying activities by lowering the disclosure threshold for trade association memberships.
• Added a new metric to our corporate scorecard tied to reducing greenhouse gas emissions. Employee bonus compensation is tied to performance on this scorecard.

Climate Goals & Targets

Environmental Challenges

• Market volatility due to geopolitical tensions (U.S. sanctions on Iran, Middle East volatility, trade tensions between China and the U.S., Russia sanctions, and worsening conditions in Venezuela).
• Pipeline infrastructure constraints restricting crude oil flows to export outlets.

Mitigation Strategies

• Focus on creating value through a disciplined capital program that prioritizes efficient, low-risk, short-cycle investments.
• Accelerating the deployment of digital technologies to improve revenues, reduce costs, increase reliability and improve safety.
• Strategically secured pipeline capacity to maximize value in advance of production ramp-up.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: TCFD

Environmental Metrics

ESG Focus Areas

• Protecting the environment
• Empowering people
• Getting results the right way

Environmental Achievements

• Reduced methane emissions from Chevron’s U.S. onshore production operations by 85 percent since 2013
• Invested $1 billion in carbon capture and storage projects in Australia and Canada
• Cited by third parties as the leader in flare minimization in the Permian Basin
• Pledged $100 million to the Oil and Gas Climate Initiative Climate Investments fund
• Committed $100 million to the Chevron Technology Ventures’ Future Energy Fund
• Began operating a carbon dioxide injection system at the Gorgon natural gas facility, reducing greenhouse gas emissions by approximately 40 percent.
• Removed 2,856 kg of nets and 6,496 kg of debris from the Caspian Sea.

Social Achievements

• Invested more than $1 billion in global social programs, including funding to improve access to health care, promote STEM training, empower women through education, and promote widespread economic growth and sustainable entrepreneurship
• Invested $27 billion on goods and services, contributing to the global economy
• Launched a partnership with MIT to enhance workforce capabilities in data analytics and other in-demand technical skills
• Launched Welcome Back, a return-to-work program to attract talented professionals who want to reenter the workforce
• Received a 100% score, making it one of the Best Places to Work for People with Disabilities in 2019

Governance Achievements

• Integrated the work of the Energy Transition and ESG Engagement & Sustainability teams into one corporate Strategy and Sustainability group
• Published three dedicated climate reports over the last three years, largely using the recommendations of the Task Force for Climate-related Financial Disclosures (TCFD)
• Updated Human Rights Policy to reflect commitment to international human rights norms and expectations for suppliers and contractors
• Developed a Human Rights Defenders Statement

Climate Goals & Targets

Environmental Challenges

• Climate change
• Meeting stakeholder expectations for a lower-carbon future
• Supply chain disruptions (implied)

Mitigation Strategies

• Lowering carbon intensity cost efficiently
• Increasing renewables in support of business
• Investing in breakthrough technologies
• Developing scalable solutions to address climate change
• Managing climate risks
• Engaging with investors and stakeholders on climate change
• Implementing responsible water management strategies
• Implementing innovative produced water recycle strategies

Supply Chain Management

Responsible Procurement

• Spending $27 billion on goods and services; spending with U.S.-based businesses, small businesses, and woman- and minority-owned businesses.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: IPIECA, SASB, TCFD

Third-party Assurance: Lloyd’s Register

UN Sustainable Development Goals

• SDG 3
• SDG 4
• SDG 7
• SDG 8
• SDG 13

Chevron touches all 17 SDGs through our day-to-day operations, partnership initiatives and social investment opportunities.

Awards & Recognition

• American Chamber of Commerce Thailand CSR Excellence Recognition Award
• Hispanic Association on Corporate Responsibility 5-star rating in Employment and Governance
• JUST Capital Top 100 U.S. Companies Supporting Healthy Communities and Families
• Verdantix International Environmental Health and Safety Innovation Award

Environmental Metrics

ESG Focus Areas

• Protecting the environment
• Empowering people
• Getting results the right way

Environmental Achievements

• Reduced flaring by more than 60 percent since 2016
• Reduced methane emissions by nearly 50 percent since 2016
• Driving combined oil and natural gas carbon intensity to be about 35 percent lower than 2016 levels by 2028
• Exceeded 2023 Upstream carbon intensity reduction targets three years ahead of schedule

Social Achievements

• Launched Global Women’s Leadership Development Program
• Increased the share of senior-level jobs held by women and racial and ethnic minorities to 44 percent during 2020 reorganization
• Increased investment to address racial equity by $15M
• Offered enhanced mental health and wellness support, financial assistance for unplanned child care needs, and remote learning resources during the COVID-19 pandemic

Governance Achievements

• Published the third Task Force on Climate-related Financial Disclosures (TCFD) aligned report
• Released the first Climate Lobbying Report
• Revised the Public Policy and Sustainability Committee charter to clarify their leadership role in providing oversight of climate risks

Climate Goals & Targets

Environmental Challenges

• Economic and social impact of the pandemic
• Heightened demands for racial equity
• Increasingly polarized political environment
• COVID-19 impact on employee well-being and supply chain

Mitigation Strategies

• Reduced capital spending, deferred early-phase projects, curtailed production, reduced operating costs, released drilling and workover rigs, and suspended well-completion programs
• Increased monitoring of supplier financial risks and utilized flexibility to respond to business partners’ needs
• Offered enhanced mental health and wellness support, financial assistance for unplanned child care needs, and remote learning resources
• $15 million commitment to improve racial equity through education, job creation, talent and leadership development, and community and small business partnerships

Supply Chain Management

Responsible Procurement

• Increased monitoring of supplier financial risks
• Shortened payment cycle for suppliers encountering financial problems
• Negotiated special rates with key suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Hurricanes and other extreme events

Transition Risks

• Regulatory changes
• Market shifts
• Lower-carbon policies

Opportunities

• Development of energy-efficient products
• Investment in low-carbon technologies

Reporting Standards

Frameworks Used: SASB, TCFD, IPIECA, API, IOGP, WEF

Certifications: ISO 14001, ISO 45001

Third-party Assurance: Lloyd’s Register

UN Sustainable Development Goals

• SDG 3
• SDG 4
• SDG 7
• SDG 8

The report details how Chevron's initiatives contribute to these goals.

Sustainable Products & Innovation

• Carbon-footprinted liquefied natural gas (LNG)

Awards & Recognition

• Forbes’ Just 100 and Best Employers For Women lists
• EDGE Certification for Gender Equality
• As You Sow’s Racial Justice S&P 250 Scorecard
• National Business Inclusion Consortium: Best of the Best Corporations for Inclusion
• The American Chamber of Commerce Thailand: CSR Excellence Recognition Award (Platinum)
• Disability Equality Index for the Best Places to Work for Disability Inclusion
• Human Rights Campaign Equality Index
• Society of Asian Scientists and Engineers Professional Conference: Organization of the Year award
• U.S. Veterans Magazine: Top Veteran-Friendly Company
• The Hispanic Association on Corporate Responsibility: 5-star rating in Employment and Governance
• Pink Petro presented Chevron’s Black Employee Network with the GRIT Award

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced Upstream methane intensity by more than 50% since 2016.
• Reduced flaring intensity by 50% since 2016.
• 99% of Mid-Continent business unit's water demand in the Permian Basin was satisfied with brackish or recycled sources in 2021.
• El Segundo Refinery increased use of reclaimed water by 8% in three years (from 70% in 2018 to 78% in 2021).

Social Achievements

• 100% rating: Human Rights Campaign Foundation’s 2022 Corporate Equality Index (17th consecutive year).
• 100% on the Disability Equality Index for the Best Places to Work for Disability Inclusion (3rd consecutive year).
• Launched Chevron New Energies.
• Continued executing our $15 million commitment to address racial inequality in the United States.

Governance Achievements

• Directly linked Chevron Incentive Plan to achieving energy transition milestones.
• Furthered commitment to transparency by disclosing all contributions to trade associations and publishing list twice a year.
• Amended several Board Committee charters to clarify scope and roles, particularly as they relate to climate change and sustainability.
• More than 40% of Board seats are held by women.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to the COVID-19 pandemic.
• Meeting the world’s energy and climate goals in harder-to-abate sectors.
• Achieving net-zero Upstream emissions by 2050.
• Managing the energy transition while balancing ambition and reality.

Mitigation Strategies

• Investing in nearly 100 GHG abatement projects, expecting approximately 4 million tonnes of emissions reductions per year when completed.
• Expanding methane detection capabilities using satellites, aircraft, and drones.
• Forming Chevron New Energies to develop lower carbon solutions.
• Collaborating with innovators and partners to scale lower carbon solutions.
• Prioritizing GHG abatement efforts that curtail emissions at the lowest cost per tonne.

Supply Chain Management

Responsible Procurement

• Code of conduct
• Supplier sustainability requirements
• Commitment to supply chain inclusion

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products
• Growth in renewable fuels, hydrogen, carbon capture, and offsets

Reporting Standards

Frameworks Used: SASB, TCFD, Ipieca

Certifications: ISO 14001:2015, ISO 45001:2018

Third-party Assurance: Lloyd’s Register Quality Assurance, Inc. (LRQA)

UN Sustainable Development Goals

• Goal 3
• Goal 7
• Goal 8
• Goal 9
• Goal 12
• Goal 13
• Goal 14
• Goal 15

The report details how Chevron's initiatives contribute to these goals through its Ipieca roadmap.

Sustainable Products & Innovation

• Renewable diesel
• Sustainable aviation fuel
• Renewable natural gas
• Biodiesel
• Renewable base oil
• Havoline® PRO-RS™ renewable passenger car motor oil

Awards & Recognition

• Human Rights Campaign Foundation’s Corporate Equality Index
• Disability Equality Index
• JUST Capital Best Company for Workers
• EGYPS Employer of the Year
• Women’s Forum of New York Corporate Champion
• Forbes’ Just 100 and Best Employers For New Grads lists
• Top Veteran-Friendly Company

Environmental Metrics

ESG Focus Areas

• Climate Change
• Biodiversity
• Water Stewardship
• Health and Safety
• Diversity and Inclusion
• Human Rights
• Community Relations
• Governance
• Cybersecurity
• Supply Chain Management

Environmental Achievements

• Reduced oil production Scope 1 and 2 carbon intensity by nearly 40% since 2016
• Reduced methane intensity by more than 50% since 2016
• Almost 7 million tonnes of CO₂ emissions captured and injected at Gorgon CCS project as of 2022
• Reduced upstream oil discharges to surface water by >50% since 2018
• Reduced nitrogen oxides emissions by 25% since 2018
• Reduced volatile organic compounds emissions by 44% since 2018
• 99% of water demands for well completions in the Permian Basin met using brackish or recycled water in 2022

Social Achievements

• 20 years of consistent, transparent reporting on ESG efforts
• High employee engagement indicated by enterprisewide survey results
• 54% board diversity at the end of 2022
• Established an Equity Review Committee to review employee concerns with promotion or job selection decisions
• Expanded access to well-being resources
• Sponsored additional leadership development programs
• Collaborated with the United Nations Population Fund to reduce maternal and neonatal mortality in Equatorial Guinea

Governance Achievements

• Strong corporate governance structures and practices
• Updated Chevron’s lobbying and trade association webpage to increase transparency
• 97% enterprisewide completion rate for Business Conduct and Ethics Code training in 2022
• Designated as a “Trendsetter” in the 2022 CPA-Zicklin Index of Corporate Political Disclosure and Accountability

Climate Goals & Targets

Environmental Challenges

• Five contractor fatalities and 20 serious injuries in 2022
• Global supply and demand imbalances created by the military conflict between Russia and Ukraine
• Addressing racial barriers to equity
• Inappropriate behaviors in Australian workplaces

Mitigation Strategies

• Focus on planning and execution of high-risk activities to prevent serious injuries and fatalities
• Sharing lessons learned throughout the company and applying them in daily practices
• $15 million pledge to support the Black community in the United States
• Commissioned an external review of racial equity and diversity and inclusion initiatives
• Commissioned a voluntary review of behaviors in Australian workplaces and implemented recommendations

Supply Chain Management

Responsible Procurement

• Supplier relationship and service quality programs
• Vendor Code of Conduct
• Screening of potential feedstock partners

Climate-Related Risks & Opportunities

Physical Risks

• Severe weather events

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products
• Growth in renewable fuels, carbon capture, utilization and storage, hydrogen, offsets, and other emerging technologies

Reporting Standards

Frameworks Used: SASB, TCFD, Ipieca, IOGP, API

Certifications: ISO 14001:2015, ISO 45001:2018

Third-party Assurance: DNV

UN Sustainable Development Goals

• SDG 7
• SDG 8
• SDG 9
• SDG 12
• SDG 13
• SDG 6
• SDG 14
• SDG 15
• SDG 3
• SDG 16

The report details how Chevron's initiatives contribute to these goals through various programs and partnerships.

Sustainable Products & Innovation

• Renewable fuels
• Hydrogen
• Offset-paired products

Awards & Recognition

• 2022 Volunteer Business of the Year by the Ames Foundation
• 2022 Healthiest 100 Workplaces in America
• 2023 Platinum Bell Seal for Workplace Mental Health

Environmental Metrics

ESG Focus Areas

• Greenhouse gas emissions
• Biodiversity
• Emergency preparedness
• Safety and health
• Human rights
• Diversity and inclusion
• Community relations
• Governance strategy
• Business conduct
• Lobbying and political contributions
• Cybersecurity

Environmental Achievements

• Reduced portfolio carbon intensity to 71.1 grams CO₂e/megajoule in 2023 from 71.0 in 2022.
• Reduced upstream oil intensity to 22.4 kilograms CO₂e/boe in 2023 from 25.2 in 2022.
• Reduced upstream gas intensity to 26.1 kilograms CO₂e/boe in 2023 from 27.5 in 2022.
• Reduced upstream methane intensity to 1.6 kilograms CO₂e/boe in 2023 from 1.9 in 2022.
• Reduced upstream flaring intensity to 2.8 kilograms CO₂e/boe in 2023 from 3.5 in 2022.
• Reduced refining carbon intensity to 36.0 kilograms CO₂e/boe in 2023 from 37.0 in 2022.

Social Achievements

• Increased percentage of women in total employees to 27% in 2023 from 25% in 2022.
• Increased percentage of ethnic minorities in total employees to 42% in 2023 from 43% in 2022.
• Spent $26.4 billion on goods and services in 2023.
• Spent $15.7 billion on goods and services with U.S.-based businesses in 2023.
• Spent $2.0 billion on goods and services with U.S.-based small businesses in 2023.
• Spent $0.6 billion on goods and services with U.S.-based woman- and minority-owned businesses in 2023.

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: SASB, TCFD, Ipieca, IOGP, API

Certifications: ISO 14001:2015, ISO 45001:2018

Third-party Assurance: ERM, CVS, DNV

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Renewable fuels

Awards & Recognition

• Not disclosed