ChevronTexaco, Total and Schlumberger Form Alliance to Develop Thermal

ChevronTexaco, Total and Schlumberger Form Alliance to Develop Thermal Simulation Technology for Heavy Oil Extraction

    Business Editors/Energy Editors/Technology Writers

    HOUSTON--(BUSINESS WIRE)--April 7, 2005--

New Software Solution to Improve Recovery Efficiencies
    ChevronTexaco (NYSE:CVX), Total (NYSE:TOT) and Schlumberger (NYSE:SLB) announced today that they have formed a joint initiative for research and development of thermal simulation technology aimed at improving recovery efficiencies in heavy oil reservoirs.
    The two-year collaborative project will take advantage of the next generation reservoir simulation technology currently being developed by ChevronTexaco and Schlumberger under their 'Intersect' research project.
    At the heart of this technology are a parallel architecture and simulation algorithms, built to capitalize on advances in software and hardware technologies, parallel computing, advanced gridding and modern software engineering techniques.
    "The breakthrough performance demonstrated by the Intersect Project creates the platform for the development of technology to support advanced simulation of thermal recovery processes," said Donald Paul, vice president and chief technical officer, ChevronTexaco. "This capability will facilitate corresponding enhancement of ChevronTexaco's heavy oil operations. We welcome the opportunity to work with Total as well as our established partner Schlumberger in this challenging and important initiative."
    The results of the joint research and development will be commercialized by Schlumberger and subsequently made available to exploration and production (E&P) operators as a part of its next generation suite of simulation software products.
    ChevronTexaco and Total have a wealth of expertise in the research and deployment of reservoir simulation and heavy oil production technology. When coupled with Schlumberger expertise in development of industry-leading commercial simulation technology, this will enable new insights in the characterization and control of thermal recovery processes, resulting in enhanced economic performance of operators involved in developing and producing in heavy oil regions.
    "Total is very pleased with this cooperation which will blend worldwide complementary expertise of the three partners. I am very confident this will greatly contribute in reaching the group's objectives in terms of heavy oil production," said A. Lehner, geoscience vice president - Fields Reserves Development at Total.
    "We are collaborating with partners who have undeniable expertise in the field of thermal recovery processes," said Olivier Le Peuch, president, Schlumberger Information Solutions. "By taking advantage of the innovative architecture that is available as a result of the Intersect project, we will enable the industry to better understand and manage heavy oil assets."

    About the Organizations

    ChevronTexaco Corp. is one of the world's leading energy companies. With more than 47,000 employees, ChevronTexaco conducts business in approximately 180 countries around the world, producing and transporting crude oil and natural gas, and refining, marketing and distributing fuels and other energy products. ChevronTexaco is based in San Ramon, Calif. More information on ChevronTexaco is available at www.chevrontexaco.com.
    Total is the fourth largest oil and gas company in the world with operations in more than 130 countries. Total's activities cover the whole energy chain of the petroleum industry: exploration, oil and gas production, refining and marketing, trading and power generation. The Group is also a major player in chemicals. Total has more than 110,000 employees worldwide. More information can be found on the company's website: www.total.com.
    Schlumberger is the world's leading oilfield services company supplying technology, project management and information solutions that optimize performance for customers working in the oil and gas industry. The company employs more than 52,000 people of over 140 nationalities working in 80 countries, and comprises two business segments. Schlumberger supplies a wide range of products and services from formation evaluation through directional drilling, well cementing and stimulation, well completions and productivity to consulting, software, information management and IT infrastructure services that support core industry operational processes. WesternGeco, jointly owned with Baker Hughes, is the world's largest seismic company and provides advanced acquisition and data processing services. In 2004, Schlumberger operating revenue was $11.48 billion. For more information, visit slb.com.

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CONTACT: Schlumberger Oilfield Services Susan Ganz, 281-285-8245 or 713-513-2480 sganz1@slb.com or ChevronTexaco Corp. Mickey Driver, 713-752-6458 mickeydriver@chevrontexaco.com or Total Paul Floren, +33 1 47 44 45 91 paul.floren@total.com

KEYWORD: CALIFORNIA TEXAS INTERNATIONAL EUROPE INDUSTRY KEYWORD: OIL/GAS ENERGY CHEMICALS/PLASTICS SOFTWARE SOURCE: Schlumberger

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