Providing Energy to Drive Human Progress Chevron IndoAsia Business Unit
The demand for energy is growing The demand for energy is growing. The world is undergoing an economic expansion that is raising the standard of living for millions of people everywhere, but energy is the foundation for this expansion. It is projected that the demand for energy will rise by about 33 percent by 2030, a growing demand fuelled by a burgeoning population, growing some 20 percent over the next 20 years, with most of that growth in countries with emerging economies, especially in the Asia Pacific region. At Chevron, we recognize the world needs all the energy we can develop. We are developing energy resources that will help build a secure and diversified energy future. One of our renewable sources is geothermal energy. Today, we operate more geothermal energy facilities than any organization, public or private.
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It is projected that the demand for energy will rise by about
33% by 2030
a growing demand fuelled by a burgeoning population growing some
20% over the next
20 years
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Human Energy is Rising to the Challenge Chevron is one of the world's leading integrated energy companies, with subsidiaries across the globe. Headquartered in San Ramon, California, we are engaged in every aspect of the crude oil and natural gas industry, including exploration and production, manufacturing, marketing and transportation, chemical manufacture and sales, geothermal extraction and power generation. We are also investing in other sources of renewable energy and researching advanced technologies. In carrying out our business, we are guided by The Chevron Way. Our vision is to be the global energy company most admired for its people, partnership and performance. Our Company’s foundation is built on its values, which distinguish us and guide our actions. We conduct our business in a socially responsible and ethical manner, with respect for the law, support for universal human rights, protection of the environment and benefit to communities where we work. Chevron is built on the idea that with commitment and ingenuity there is no problem that cannot be solved, no challenge that cannot be overcome. This is how the people of Chevron approach their jobs every day. The world needs energy to power businesses, heat homes, light schools, transport people, deliver products, create jobs and improve the overall quality of life. Energy moves the world forward. Human Energy makes all this possible.
Our vision is to be the global energy company most admired for its people, partnership and performance
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CHEVRON KALINGA, Ltd. Kalinga
PHILIPPINE GEOTHERMAL PRODUCTION COMPANY, INC. (MAK-BAN) Laguna-Batangas
Geothermal
Geothermal
MANILA
PHILIPPINE GEOTHERMAL PRODUCTION COMPANY, INC. (TIWI) Albay CHEVRON MALAMPAYA LLC
Geothermal
Gas Exploration and Production
SOUTH NATUNA SEA BLOCK B Riau Islands Oil & Gas Exploration and Production
THE PHILIPPINES
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CHEVRON INDONESIA COMPANY & CHEVRON MAKASSAR, Ltd. East Kalimantan Oil & Gas Exploration and Production
PT. CHEVRON PACIFIC INDONESIA Riau Oil & Gas Exploration and Production
INDONESIA PT. CHEVRON GEOTHERMAL SUOH - SEKINCAU Lampung Geothermal
JAKARTA
CHEVRON GEOTHERMAL INDONESIA, Ltd. West Java Geothermal
CHEVRON WEST PAPUA I, Ltd. & CHEVRON WEST PAPUA III, Ltd. West Papua Oil & Gas Exploration
CHEVRON GEOTHERMAL SALAK, Ltd. West Java Geothermal
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Chevron IndoAsia Business Unit Through Chevron Asia Pacific Exploration & Production, Chevron conducts operations in Indonesia and the Philippines under its IndoAsia Business Unit. In Indonesia, Chevron is a major producer of oil and gas through subsidiaries PT. Chevron Pacific Indonesia (CPI), Chevron Indonesia Company (CICo) and Chevron Makassar, Ltd. (CML). In the Philippines, Chevron participates in the country’s largest gasto-power development, working through Chevron Malampaya LLC. Chevron’s geothermal activities are carried out through Chevron Geothermal Indonesia, Ltd. (CGI), Chevron Geothermal Salak, Ltd. (CGS) in Indonesia, and Philippine Geothermal Production
Company, Inc. (PGPC) in the Philippines. We have added new projects to our portfolio: two oil & gas exploration blocks, West Papua I and West Papua III in West Papua Province, and two geothermal prospects, Kalinga in the Philippines and SuohSekincau in Lampung Province. Our operations in both countries are supported by over 6,400 highly-skilled, dedicated employees and more than 30,000 business partner-employees. Currently over 97 percent of IBU employees are Indonesian and Filipino nationals.
6,400 >30,000 97% highly-skilled, dedicated employees
business partneremployees
Indonesian and Filipino nationals
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Investing for the Future Chevron’s first major step in Indonesia energy exploration and production was taken in 1924, when Standard Oil Company of California (Socal), today known as Chevron, dispatched a geological expedition to the island of Sumatra. For more than half a century, Chevron has been Indonesia’s largest producer of crude oil. From our onshore oil fields in Riau, Sumatra and our offshore fields in East Kalimantan, we have produced more than 12 billion barrels of oil to meet the energy needs of Indonesia’s growing economy. For more than 30 years, Chevron has been helping countries harness their geothermal resources to meet sustainable development objectives. Chevron has been a leader in geothermal development, developing one quarter of the world’s capacity. Today, our geothermal operations in Indonesia and the Philippines make us the largest geothermal energy producer in the world. In 2007, one of our Darajat III Geothermal Project in West Java, under contract to Pertamina and PLN (Indonesia’s state-owned electricity company), was registered under the Clean Development Mechanism (CDM) of the Kyoto Protocol. With its current capacity of 121 megawatts, Darajat III is the largest geothermal energy project to be registered thus far under the CDM program. In addition, in 2009 Darajat III received its first Certified Emission Reductions from the United Nations. This milestone recognizes the commitment of both Chevron and the Republic of Indonesia to developing renewable energy sources.
12 billion >30 years barrels of oil to meet the energy needs of Indonesia’s growing economy
Chevron has been helping countries harness their geothermal resources to meet sustainable development objectives
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Meeting Energy Needs to Fuel Indonesia’s Growing Economy Chevron has been producing crude oil and natural gas for Indonesia for more than five decades, under a production sharing contract with the Government of Indonesia, represented today by SKK Migas (Special Task Force for Upstream Oil and Gas Business Activities). From our fields in Riau, Sumatra, we have produced more than 11 billion barrels of accumulated oil, while
our offshore operations in East Kalimantan have contributed another billion barrels of oil. We pioneered the development of geothermal energy in the Philippines and are the leading producer in Indonesia. Overall, our geothermal operations in both countries supply 924 megawatts of operating capacity, enough clean and sustainable energy to meet the needs of 12 million people.
Overall, our geothermal operations in both countries supply
924 megawatts
of operating capacity
enough clean and sustainable energy to meet the needs of
12 million 10
people
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Optimizing Energy Potential in Sumatra PT. Chevron Pacific Indonesia operates three major fields: Duri, Minas and Bekasap, as well as manages Dumai Wharf, the final terminal for oil transport. In Duri, we operate one of the world’s largest steam-flood operations, the Duri Steam Flood (DSF), which employs state of the art technology to recover heavy crude oil from the relatively shallow reservoirs. Duri Field produces a unique type of crude oil, famed by its brand name: Duri Crude. Today, the DSF project has successfully developed 12 development areas, the North Duri Development Area 12, which produced its first oil on November 24, 2008. The DSF North Duri Development Area 13 is now progressing the wells and facilities development within Duri Field. The 12
first oil of NDD Area 13 was on September 16, 2013. We also manage extensive water-flood operations at the Minas Field, which is the largest oil field ever discovered in South East Asia. It produces the world-renowned type of oil called Sumatran Light Crude (SLC). Crude oil from Chevron’s Sumatra production fields is transported to Dumai through a pipeline system extending some 600 kilometers, and reaches a tank farm with a storage capacity of 5.1 million barrels. From the tank farm, oil is pumped to either or both Pertamina refinery or/and oil tankers at Dumai Wharf. Using high-capacity pumps, Dumai Wharf can load four tankers simultaneously.
Crude oil from Chevron’s Sumatra production fields is transported to Dumai through a pipeline system extending some
and reaches a tank farm with a storage capacity of
600 km
5.1 million barrels 13
Developing Resources in Kutei Basin Our operations in East Kalimantan consist of three main areas: the North Area, the South Area and West Seno, a deepwater project in Makassar Strait. In the North Area, we operate the Attaka, Melahin, Kerindingan, Serang and Sapi Fields, as well as Santan Terminal. The Attaka Field has earned the world’s recognition as the largest offshore oil field in Indonesia. Crude oil and natural gas produced from the North Area are processed at Santan Terminal. Natural gas is also transported to Bontang LNG Plant. In the South Area, we run the Sepinggan and Yakin Fields, Lawe-lawe Terminal, Penajam Supply Base and Pasir Ridge Balikpapan Office. Crude oil and natural gas from the South Area are processed at Lawe-lawe Terminal. The discovery of the West Seno Field marked a new phase in energy development projects in Indonesia: deepwater oil and gas development.
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The West Seno Field lies in Makassar Strait PSC, with a depth varying between 800 meters (2,400 feet) and 1,100 meters (3,400 feet). Chevron is now developing the first ultra-deepwater natural gas development in Indonesia, to be known as the Indonesia Deepwater Development (IDD) project, which covers several fields. The first five fields to be developed are the Gendalo, Maha, Gandang (known as the Gendalo project), Gehem and Bangka. These fields are located in four different PSC areas, namely, Makassar Strait, Ganal, Rapak, and Muara Bakau in Makassar Strait at depths varying from 900 meters (2,700 feet) to 2,000 meters (6,600 feet). Part of the gas from the IDD project will be marketed domestically, while another portion is to be converted to liquefied natural gas (LNG) at the Bontang LNG facility in Indonesia for export sale.
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Providing Clean and Affordable Renewable Energy In Indonesia, Chevron’s geothermal projects in Salak and Darajat in West Java generate 647 MW of electricity. This represents over 50 percent of the country’s total geothermal production, in support of Indonesia’s growing economy, and powers approximately 3.5 million homes. Our Salak Field is among the largest in the world, with a total capacity of 377 MW. Meanwhile, our Darajat Field generates 270 MW of electricity. We also operate a 300 megawatt gas–fired cogeneration facility in North Duri, Riau, supplying steam and electricity to Chevron’s giant steam flood Duri Field.
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With an estimated 1 out of 5 light bulbs lit by electricity from geothermal energy, the Philippines is the world’s largest user of this renewable resource on a per capita basis. Chevron has a 40 percent interest in the Philippine Geothermal Production Company, the operator of the Tiwi power plant in Albay Province and the Mak-Ban power plant in Laguna and Batangas provinces. Those third-party-owned plants supply power to Luzon, the country's most populous island. The combined generating capacity of the two plants is 692 megawatts.
Chevron’s geothermal projects in Salak and Darajat in West Java generate
647MW of electricity Salak Fields
377 MW
Darajat Fields
270 MW
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Advanced Technology to Deliver World-Class Performance Protecting people and the environment while conducting our operations reliability and efficiently are integral parts of the Chevron Way. We place the highest priority on the health and safety of our workforce, along with protection of the environment and our assets. We steadily endeavor to maintain our reputation for world-class performance, through disciplined application of the Operational Excellence Management System (OEMS). Our actions are guided by the following two tenets: “Do it safely or not at all” and “There is always time to do it right”. Technology plays a pivotal role in advancing all aspects of our business. It enables us to find new resources, overcome geological challenges while achieve the best and most cost-effective results. Steam-flooding and water injection are just a couple examples of advanced technologies developed worldwide and transferred to Indonesia by Chevron. In our mature fields in Duri, we use specialized heat management techniques, such as steam-flooding and other enhanced recovery technologies, to coax heavy oil from the ground. The steam-flooding technology has significantly prolonged the life of our Duri Field, which accounts for almost half of Chevron’s production in Sumatra. We began applying water injection technology in Minas in the 1970s. Since then, the secret to the success of Minas has been “pattern waterflooding”, or the injection of water into the reservoir to help push available oil to the surface. Chevron and BPMIGAS have studied a variety of
enhanced oil recovery technologies, and have agreed in concept to conduct a limited-scale field trial to test the technical performance of surfactant/polymer enhanced oil recovery technology in Minas Field. Chevron is a world leader in deepwater developments. We have safely, cost effectively and in a timely manner delivered numerous deepwater projects around the world, including ones in the Gulf of Mexico, offshore Nigeria, offshore Angola, and offshore Brazil. The lessons learned and expertise gained from these developments will be incorporated into our first ultra deepwater projects in Indonesia. As part of our Environmental Stewardship, we practice zero water discharge, or Zewadi, in our Minas and Duri operations in Sumatra. The term Zewadi means we do not discharge produced water into the environment, but we rather reinject it back into the earth, as part of the effort to extract more oil. Through the implementation of Zewadi, we fully comply with the government’s waste water regulations. In other areas, such as Kotabatak-Petapahan, Bekasap-Rokan and Libo, we also re-inject a large amount of produced water, while in Duri, Petani and Bekasap, we reinject produced water in the form of steam. In our offshore operations in East Kalimantan, we implement a flaring/venting reduction program at the Yakin and Sepinggan Fields. This program has successfully reduced greenhouse gas emissions by operating vapor recovery and gas compressors, so that recovered associated gas can be utilized as a source of fuel at these offshore field or being packaged for sale.
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Creating a World-Class High-Performing Diverse Global Workforce One of our enterprise strategies is to invest in people. We believe that by investing in our employees we are strengthening our organizational capability, while at the same time we are developing a talented global workforce that can achieve results the right way. We have established a number of people development and training programs to ensure that our employees have all the resources to enrich their career objectives while continuously building our organizational capability. Our programs include: • Petrotech competency development, namely, the Horizons and Pathways programs • Career Development Assignments (CDA) • International Assignments • Employee Self Development Program (ESDP) • University Partnership Program (UPP)
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Horizons The Horizons Program is one of our main competency-based employee development efforts. The goal is to accelerate employee development with respect to their technical knowledge and work-based behavior. The Horizons Program has three key elements: training, assignments and mentoring. All new Chevron graduate hires with less than five years’ experience are enrolled into this program: Drilling & Completions, Earth Science, Facilities Engineering, Health, Environment and Safety, Information Technology, Petroleum Engineering and Supply Chain Management. This program has been run since 2007 and has graduated more than 180 national employees.
Career Development Assignments Career Development Assignment (CDA) is a development program intended to impart opportunities to develop and to retain the “best people” with proper knowledge and skills, in alignment with organizational business needs. By attending CDA, the employee is expected not only to obtain
knowledge, skills, and experience while enhancing professionalism and the transfer of technology, but also to be exposed to a global working environment in a multicultural atmosphere and to build a network with other high-calibre professionals. Since 2000, more than 200 national employees have joined this program, most of whom have proven themselves subsequently by playing important roles in achieving Chevron’s business objectives in Indonesia.
Employee Self Development Program (ESDP) Chevron provides educational support under its Employee Self Development Program (ESDP) for eligible employees to upgrade their qualifications by taking higher education at their own pace, in order to help enhance our organizational capability while meeting employee career growth aspirations.
International Assignments We continuously strive to ensure that employees are positioned to achieve their goals and to grow with their careers through Chevron-sponsored international development programs, many of which are held in the United States. Well over 1,000 Indonesian employees have completed international development assignments. At the same time, Chevron’s worldwide operations provide many opportunities for employees to gain experience outside their home countries. There are over 60 Indonesian employees on
Chevron has welcomed
167
the prestigious Chevron global workforce assignments in the Americas, in Europe and around Africa.
UPP intern students, of whom 52 have become permanent employees
University Partnership Program (UPP) – Internship Program To develop university students’ competency, Chevron has a University Partnership Program (UPP) – Internship Program to give students a 3-month apprenticeship in Chevron. Through this program, students have the opportunity to apply their knowledge, learn new skills, and build networking relationships. Chevron has welcomed 167 students into the program since it started in 2008, of whom 52 have become permanent Chevron employees.
Well over
1,000
Indonesian employees have completed international development assignments 21
Developing Partnerships, Empowering Communities Chevron does more than provide energy. We believe that by investing in people we all benefit. Our programs engage communities and individuals, empowering them to promote sustainability and help deliver long-term socioeconomic benefits. These programs target the communities in which we operate and demonstrate our commitment to being the partner of choice. Chevron’s programs are anchored in partnership with governments, communities, local and international nongovernmental organizations and development agencies. Most programs invest in our three primary focus areas – improving access to basic human needs (such as healthcare, better nutrition, improved sanitation, agricultural, and public infrastructure development), enabling education and training opportunities and promoting sustainable livelihoods. We also support arts and culture, environment protection and rehabilitation as well as disaster relief and long-term rehabilitation efforts. Each of these elements helps contribute to socio-economic progress.
Improving Access to Basic Human Needs Health care, nutrition, clean water, sanitation, agriculture and public infrastructure provide a foundation for economic development activities. We have been supporting Riau communities since the 1950s by opening an isolated area of Eastern Riau through the construction of a 180-kilometer roadway, connecting Pekanbaru and Dumai. We also connected that road to the North Sumatra province road through Bangko region. Another milestone of our contributions is the construction of the Siak Bridge, the first bridge over Siak River that connects Pekanbaru southern area with the northern area in 1977, as well as connects western part of Sumatra (West Sumatra Province) to the eastern part (Dumai in Riau Province). We run a number of programs to promote access to basic human needs, including our partnership with the
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Global Fund to fight AIDS, Tuberculosis and Malaria. Our $30 million commitment has funded programs to fight these diseases in six countries, including Indonesia and the Philippines, as well as Thailand, Nigeria, South Africa and Angola. In 2010, we announced that we will commit another $25 million, raising its six-year investment in the organization to $55 million. In Indonesia, Chevron is working to combat HIV/AIDS as part of a comprehensive program that includes education and information initiatives, and speciallydesigned local programs. We support comprehensive awareness, prevention, voluntary testing and counseling services, treatment and anti-discrimination approach for all our employees and their family members. We also actively collaborate with local and national governments as well as non-governmental organizations to organize and participate in HIV/AIDS
prevention and awareness campaigns for surrounding communities, throughout our operations in Riau, East Kalimantan, West Java and Jakarta. In 2007, we became founding members of the Indonesian Business Coalition on AIDS (IBCA). We believe that the business community plays a vital role, working together to adopt best practices to prevent the spread of HIV/AIDS, starting in our own workplaces. Initiative Engage Execute Empower We sponsor a series of programs called Initiative Engage Execute Empower (I3E), where we offer our assistance for women’s and youth issues in health, education, and economic development. In Minas District, we work together with our partners to sustainably improve the health of pregnant women, postpartum women and their infants, by enhancing
community capacity, access to and demand for quality maternal and newly-born health services. We also help them prepare for childbirth and obstetrics and newly-born complications, using the already tested community engagement approach known as Desa SIAGA. Desa SIAGA, meaning “Alert Village”, stands for SIap (ready), Antar (take, transport), jaGA (stand by or guard). The SIAGA, or “alert”, initiative advocates that everyone should play a part in helping to save mothers' lives. In addition, we also carry out supplementary feeding activities for around 400 infants in Minas, distributing healthy green bean porridge, ready-todrink infant formula, baby biscuits and milk.
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Enabling Education and Training Our investments in education and training contribute to local development and build constructive relationships that improve our ability to conduct business. Education has been a focus for Chevron in Indonesia, dating back to 1957 when we established the first state senior high school, SMAN 1, in Pekanbaru, Riau. Chevron’s School Infrastructure Construction and Renovation Program helps improve school facilities in remote areas located near our operational areas in Riau, East Kalimantan and West Java. We have helped establishing schools in many isolated areas, including Sungai Rangau, Pauh-Libo, Pematang Pudu, Jiat, Rangau, Petani and Pematang Pudu and Minas Barat in Riau, as well as renovating numerous classrooms in Marangkayu District, East Kalimantan, Samarang and Pasirwangi in Garut, and Kabandungan and Kalapanunggal in Sukabumi, West Java. Politeknik Caltex Riau (PCR) In 2001, we established the first polytechnic institution in Riau, the Politeknik Caltex Riau, in collaboration with the Riau provincial government. The polytechnic now has some 1,200 students enrolled, and offers eight diploma programs – computer engineering, electronic engineering, telecommunications engineering, mechatronics, accounting, multimedia IT engineering, industrial information systems and advanced telecommunications engineering. Since the program's founding, more than 1,600 students have completed their studies at PCR, and around 85 percent have found employment within three months of graduation. Darmasiswa Chevron Riau Scholarships Chevron established the Darmasiswa Chevron Riau scholarship program in 2001 to aid talented high school students to continue their college education. To date, more than 700 outstanding students have benefited from this program. Working together with provincial and district/municipal education agencies, Chevron conducts a defined selection process each year to identify students with the greatest potential. Students
who are selected are given the opportunity to attend some of the most prestigious colleges in Indonesia, such as the University of Indonesia, Bandung Institute of Technology, Gadjah Mada University and Padjajaran University. Vocational Training for Youth and School Dropouts Throughout our Sumatra operations in Riau, East Kalimantan and West Java, in collaboration with local governments, non-governmental organizations, youth organizations, universities and vocational schools, we have established Chevron’s Vocational Training for Youth and Dropout Students Program. The initiative is intended to diversify the economy of the local communities and to increase employment opportunities by upgrading the skills of young people. The training courses vary from year to year but generally include welding, automotive repair, heavy-equipment operation, carpentry, rigging, electrician, motorcycle technician, audio technician and air-conditioner technician. In addition, we also offer accelerated learning for achieving a high school diploma (Kejar Paket C) for school dropouts who wish to obtain their diploma certificate, in Pamijahan, Bogor Regency and Pasirwangi in Garut. Newspapers in Education: Training Teachers and Students Chevron is partnering with several organizations, including The Jakarta Post and the Newspaper in Education Institute, in a unique program to teach English. The program is based on the idea that using the newspaper as a living textbook can make teaching and learning English enjoyable, interactive and relevant. Chevron supports the program by organizing training in communities near our operations. More than 17,000 students and 1,000 teachers from nine provinces across Indonesia have benefited from the training since our participation began in 2008.
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Establishing Sustainable Livelihoods through Micro and Small Enterprises Chevron is committed to improving social and economic conditions wherever we operate, and our focus on sustainable livelihoods and sustainable employment opportunities promotes self-sufficiency. With our partners, we identify programs to promote a better standard of living, create a more stable operating environment and strengthen relationships. Supporting Local Business Chevron supports programs that offer training in agriculture, fisheries and small business development. The Local Business Development (LBD) program, first launched in 2001, helps small companies and cooperatives in Riau, East Kalimantan and West Java. The scheme is intended to develop small local companies and cooperatives located in our operational areas, that they might evolve into reliable, professional and competitive suppliers of goods and services, while at the same time boost the economy at the local level. Over the past six years, more than 4,000 contracts have been awarded and approximately 5,500 vendors have been trained. Through LBD workshops, budding entrepreneurs are provided with training in Health, Environment, and Safety, procurement procedures, business ethics, project management, technical aspects and financial management to develop the capacity of LBD partners. In 2008, our LBD program was recognized by the Ministry of Energy and Mineral Resources with the bestowing of the Padma Award for Social Solidarity. Improving the Standard of Life In eleven coastal villages in Penajam Paser Utara and Kutai Kartanegara regencies, East Kalimantan, Chevron established the Community Coastal Empowerment Program. The program objectives are to improve community income and livelihood to support sustainable economic development by strengthening economic institutions and by optimizing the use of marine and coastal resources, and to empower the economic capability of coastal communities by providing assistance for the development of marine fisheries and small scale businesses. In Mount Salak, West Java, we establish a Communitybased Environmental Conservation and Micro Finance Development program. The main objectives of this initiative are to strengthen local communities’ capacity in improving local economic security through entrepreneurship for woman and youth and microfinance institutions, while at the same time
maintaining and upgrading forest areas and other natural resources surrounding our Salak operational areas, through income generating activities for community-based conservation efforts. Protecting the Environment In Balikpapan, East Kalimantan, Chevron pioneered a Domestic Waste Management program that has helped create healthier living conditions for 450 beneficiary households. The program, which is based on community participatory model, applies the “4R” concept, namely reduce, reuse, recycle and replant. The program has since been expanded to provide broader coverage and engaged a multitude of stakeholders to build a composting house in 2006. Today the composting house can produce 2.5 tons of compost fertilizer monthly, which brings economic benefit by generating additional income for women in seven neighbourhoods. Responding to the success of this initiative, the Government of Balikpapan Municipality adopted the “4R” concept and has replicated this program in 27 other sub-districts within Balikpapan city. Chevron, together with the Mount Halimun-Salak National Park and the Raptor Sanctuary Partnership Network, established a new raptor sanctuary for the Javan hawk-eagle (Spizaetus bartelsi), which is listed as a critically endangered species. The establishment of the sanctuary marked the initial step in the development of a multiparty professional network to support education, research, and conservation efforts for raptors and their habitats. The program also includes heightening community awareness of the importance of biodiversity in the Mount Halimun-Salak National Park and its surrounding areas, which play host to Chevron geothermal operations. In late 2011, in collaboration with Mount HalimunSalak National Park, Kehati Foundation and local nongovernmental organizations, we established the Green Corridor Initiative, a program to restore degraded forest areas that connect Mount Salak conservation area and Mount Halimun National Park. This program aims to 27 plant 250,000 trees in five years.
Rehabilitating Livelihood in Disaster-stricken Areas Chevron has supported response, relief and recovery efforts after natural disasters in Indonesia. These are some examples of how our local partnerships have helped to restore access to healthcare and basic human needs, as well as implementing efforts for lasting recovery. Shaping the Future of Development in Aceh In response to the earthquake and tsunami disasters that affected the northern part of Sumatra in 2004, Chevron’s immediate response was to provide assistance including food, clothing, potable water and employeeraised cash ($2 million in total). In addition to the immediate response assistance, in partnership with the Government of Aceh, and various partners, Chevron also provided longer-term support through the Chevron Aceh Recovery Initiative (CARI). The company’s approach focused on developing public-private partnerships to deliver economic growth and capacity-building programs through education, vocational training, micro-enterprise and small business development. Seven districts and three cities in Aceh Province and the Nias Islands benefited from Chevron’s assistance, and more than 100,000 people in Aceh have been helped by the Company’s efforts to date. Education and training are central to building capacity and sustaining long-term economic development in tsunami-affected areas. Chevron and its partners have invested in a number of focused education and vocational training projects, to address both immediate and longer term needs, including the foundation of the Politeknik Aceh. A joint initiative of Chevron, the United States Agency for International Development (USAID), and the AcehNias Reconstruction and Rehabilitation Agency (BRR), Politeknik Aceh opened its doors to students for the first time in 2008. The 9,000 square meters, 450-student facility was officially opened on February 23, 2009, by Indonesian President Susilo Bambang Yudhoyono. Currently, more than 300 students have graduated from the first two classes. And it has a current enrollment of more than 400. Politeknik Aceh offers degrees in mechatronics, information technology, industrial electronics and 28
accounting. Chevron has spent approximately $6 million on the polytechnic, fully funding the construction of the facility. We contributed a total of $14.7 million for disaster recovery, which included the funding for the polytechnic and roughly $9 million to support longterm economic development and sustainable-growth initiatives. In addition, we were able to use contributions to secure $15 million in partner funding. For instance, we partnered with the Indonesian Red Cross to provide organizational and human-capacity building for medical staff, with JHPIEGO to provide midwifery training in a cluster of villages in Aceh Besar, and with the Indonesia Heritage Foundation to provide teacher training and to open 30 new pre-schools in Aceh. Chevron Earthquake Recovery Initiative We also provided immediate and recovery efforts in the aftermath of the natural disasters in Yogyakarta, West Sumatra and West Java. In response to the Yogyakarta quake in 2006, we helped rebuild the state-run Kalongan Elementary School in Sleman, Yogyakarta and provided technical assistance to Bero Elementary School No. 1 in Klaten, Central Java, during its reconstruction. We provided support to the victims of the earthquake in West Sumatra that struck in 2008. Chevron, its employees and their families helped reconstruct the Aie Angek State Elementary School No. 6 in Tanah Datar Regency. Then in 2009, many parts of West Sumatra, including the province’s capital Padang, and West Java were affected by another devastating earthquake. Using the experience from Aceh and Yogyakarta, we launched our Chevron Earthquake Recovery Initiative (CERI), which, in addition to providing emergency relief, focused on recovery and reconstruction in the education sector. Two schools were selected for assistance, the Padang No. 5 State Technical Vocational School and the Nan Sabaris No. 21 State Elementary School in West Sumatra. Meanwhile, in response to the West Java earthquake, Chevron helped rebuild state-run Cipanas Elementary in Sukabumi and Garut No. 23 State High School in Pakenjeng. As a result of our immediate response, students were able to move back into their classrooms and out of the emergency tents they had been using as temporary classrooms.
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Striving to be the Partner of Choice Our dedication to collaboration and innovation supports our commitment to being the partner of choice. As a result, our companies are regularly honored for the quality of their operations in Indonesia. For the past several years, we have received recognition and awards from the
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Government of Indonesia as well as from national professional associations in various areas, such as employee career development, HIV-AIDS prevention, safety and occupational health, environmental protection and for being the nation’s best and most admired company.
Heading into the Future For 90 years, Chevron has been a proud member of Indonesian society. We have been and will continue to deliver energy for the country’s growing economy and continue supporting the livelihood of Indonesian people.
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Chevron IndoAsia Business Unit Head Office: Sentral Senayan I Office Tower Jl. Asia Afrika No. 8 Jakarta 10270, Indonesia Operating Office: Rumbai, Pekanbaru 28271 Riau - Indonesia Operating Office: Pasir Ridge, PO BOX 276 Balikpapan 76102 - Indonesia