21 August 1998

The California Air Resources Board (ARB) today announced a settlement in which Equilon Enterprises of Los Angeles will provide approximately $100,000 worth of diesel fuel for an ARB sponsored research project.

As part of the settlement, Equilon will deliver 16,000 gallons each of three types of commercially available diesel fuels. These include: diesel meeting ARB standards, diesel meeting less-stringent US EPA standards, and diesel fuel allowed specifically for use in locomotives. The 48,000 gallons of fuel will be delivered to the Southwest Research Laboratory in San Antonio, Texas for research to help reduce emissions and suspected carcinogens related to diesel.

The settlement stems from ARB investigations of Texaco's Los Angeles refinery that took place between 13 March 1996 and 1 June 1998. ARB investigators found that Texaco produced, offered for sale and/or sold five batches of gasoline that exceeded ARB's aromatic hydrocarbon and oxygen limits. In addition, ARB staff found that there were errors in reporting distillation temperatures for California gasoline. Equilon Enterprises acquired the refinery earlier this year.

ARBs cleaner-burning gasoline regulations, which became effective in Spring 1996, contain specifications for eight gasoline properties. Cleaner-burning gasoline reduces smog-forming emissions from motor vehicles by 15% and is essential for attainment of the state's air quality standards for ozone and carbon monoxide. In addition, cleaner-burning gasoline reduces the potential cancer risk associated with exposure to toxic air contaminants from motor vehicles by approximately 40%.

Source: California ARB
Contact: Jerry Martin (916) 322-2990 or Richard Varenchik (626) 575-6730