3Q 2010 Edition April 2009 – September 2010

© 2010 Chevron Corporation

Table of Contents
1. Overview
The Energy Conversation Methodology Executive Summary The Online Energy Conversation Volume Timeline of the Energy Conversation Volume and Net Sentiment Sentiment Trends Online Conversation Platforms Volume Summary Taxonomy Topics Volume and Net Sentiment Volume of Online Conversations Net Sentiment and Sentiment Volume Sentiment Trends Access Energy Reserves Energy Security Influencers 3 4 8 10 11 13 14 15

3

3. Energy and Technology

2. Energy Resources

16

17 18 19 21 22 23 24 25 27 29 31

Summary Taxonomy Topics Volume and Net Sentiment Volume of Online Conversations Net Sentiment and Sentiment Volume Sentiment Trends Energy Efficiency Technology and Innovation Alternatives and Renewables Influencers Summary Taxonomy Topics Volume and Net Sentiment Volume of Online Conversations Net Sentiment and Sentiment Volume Sentiment Trends Environment, Resources and Policy Climate Change Influencers

32

33 34 35 38 39 40 41 42 44 46 48 50 51 52 54 55 56 57 58 60 62

4. Energy and Environment

49

5. Join the Online Conversation 63
The Chevron Pulse Report(TM) is © 2010 Chevron Corporation. All rights reserved. Chevron hereby grants to any person a royalty-free license to copy the Report in whole or in part. Your license is conditioned upon providing attribution to Chevron (e.g., “Source: Chevron Pulse Report, 3Q 2010 Edition”).

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Prepared by Edelman

© 2010 Chevron Corporation

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Overview

The Energy Conversation
Since we explored the online energy conversation in previous editions of The Chevron Pulse Report: The State of Online Conversation About Energy Issues, the landscape of this discussion has continued to evolve and expand both online and off. This fourth edition examines energy conversation trends that occurred online over the 18-month period of April 1, 2009, through September 30, 2010. We also took a closer look at the third quarter of 2010 and analyzed how the results differed from the second quarter of this year. During the third quarter of 2010, there were roughly 4.4 million posts* about energy that emerged across online platforms. Furthermore, from April 1, 2009, through September 30, 2010, approximately 16.4 million online posts discussed energy. In the summer of 2008, Chevron partnered with Edelman to gain a better understanding of the online conversation about energy. Together, Chevron and Edelman identified more than 50 key energy issues and conversation topics. Working with Alterian’s SM2** social media monitoring tool, we began analyzing the focus, volume and sentiment of the online conversation about these issues across blogs, discussion forums and social networks, including sites such as Twitter, Facebook, YouTube, Vimeo and Flickr. Since then, Chevron has been using the information to stay informed about energy topics that are important to people participating in the online community. This quarterly report is a way to understand and articulate how the online conversation about energy has evolved. We placed a lot of emphasis on charts that translate the conversation into simple visuals, understanding that it is nearly impossible to represent 16.4 million conversations in a handful of words. Chevron and Edelman hope you find this information interesting and helpful. We welcome and encourage you to share your thoughts and ask questions about the Pulse Report at http://www.chevronpulsereport.com.

*The term “posts” is used generically to represent a piece of online content, such as a blog post, tweet, photo, video or discussion comment. **SM2 is a social media monitoring and analysis tool that tracks and measures online conversations across blogs, forums and social media platforms based on volume, sentiment and influence.

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Prepared by Edelman

© 2010 Chevron Corporation

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Overview
Scope

Methodology: Scope
Edelman conducted a quantitative and qualitative analysis of the volume and sentiment of the global, English-speaking online conversation about energy issues from April 1, 2009, through September 30, 2010, focusing on eight key energyrelated topics within three broad categories: Energy Resources – Access; Energy Reserves; Energy Security Energy and Technology – Energy Efficiency; Technology and Innovation; Alternatives and Renewables Energy and Environment – Environment, Resources and Policy; Climate Change These three categories were chosen because they were the broadest terms that applied to the most relevant conversations about energy. Within the eight key topics, we examined 74 subtopics. We conducted analysis quarterly*. There were six quarters during the 18-month period, beginning with 2Q09 and ending with 3Q10. Edelman examined the changes in volume and sentiment of each subtopic for each quarter.

*Each calendar year is divided into four consecutive three-month periods known as "quarters." The first quarter (1Q) begins January 1 and goes through March 31. The second quarter (2Q) is April 1 through June 30. The third quarter (3Q) is July 1 through September 30. The fourth and final quarter (4Q) occurs from October 1 through December 31.

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Overview

Methodology: Quantitative Analysis
Quantitative Analysis of the Conversation Volume
Online conversation occurs in myriad ways and is seemingly endless; given that, there is no objective way of measuring precisely how many posts there are for a given period. Google has indexed billions of webpages, but even they cannot provide a comprehensive view of the number of pages, posts or comments available online. Further, each search engine and social media monitoring tool collects posts in a slightly different manner. Edelman captured and analyzed enough of the online conversation about energy to make confident and reasonable assertions about the quantitative (i.e., volume) and qualitative (i.e., sentiment) discussion results related to a range of energy topics. Beginning with the 2Q 2010 edition of the Pulse Report, we streamlined the quantitative data collection process in order to improve and expedite the production of these reports moving forward. The revised methodology now consists of a quantitative measure of the online energy conversation based solely on results provided by Alterian’s SM2 social media monitoring tool. This methodology change was carried back for the duration of the 18-month period. Prior to making this change, Edelman compared the ratio of coverage volume provided by manual search tools (e.g., Google and Boardreader) versus SM2 to validate that the quality of data collected by SM2 was approaching the same level as provided by the manual search. It is important to note that this change in the methodology may account for a general decrease in the data set’s reported volume, likely due to SM2’s ability to eliminate duplicate results collected for each subtopic. The search terms used to carry out this analysis are based on logical Boolean expressions – developed and tested for each of the 74 energy-related subtopics – in order to reduce or eliminate false positives in the search results. Of note, these Boolean expressions have remained the same as those used for previous editions of the Pulse Report. Using this methodology, 16.4 million posts related to Energy Resources, Energy and Technology, and Energy and Environment were identified from April 2009 through September 2010.

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Overview

Methodology: Qualitative Analysis
Qualitative Analysis of the Conversation Sentiment
Since Edelman examines such a sizable amount of conversation each quarter, it would be untenable to manually rate the tone and sentiment of each of these posts. Thus, the semantic engine of Alterian’s SM2 social media monitoring tool was used to evaluate the sentiment of the online conversation about each issue. This is the same methodology that Edelman used in previous editions of the report. Edelman is confident in the tool’s native capabilities, but wanted to provide additional assurance that the tool was properly rating issue-oriented conversations. These types of conversations can differ in sentiment and tone from consumeror product-oriented discussions. In August 2008, Edelman conducted a quantitative survey of the online conversation about energy issues. This established the relative volume of conversation about energy issues over a seven-month period, from January 1 through July 31, 2008. We drew a randomized qualitative sample of posts from the larger quantitative pool in order to gain insight into the tone and trends in the conversation about these topics. The items were selected based on topical relevance. They were weighted according to the predominance of subtopics in relation to one another so that the sample reflected the volumes identified in the quantitative analysis. For example, if the subtopic Biofuels made up 20 percent of the quantitative sample for the discussion of the topic Alternatives and Renewables, then 20 percent of the qualitative sample for this topic focused on Biofuels. Additionally, the samples were weighted by date to reflect individual conversation trends where possible. More than 5,000 posts were pulled to make up the sample used in the 2008 survey. A team of 10 conversation analysts manually reviewed the posts and scored them on a 5-point Likert Scale for overall sentiment as well as sentiment on specific issues: 1 = Very unfavorable 2 = Unfavorable 3 = Neutral 4 = Favorable 5 = Very favorable

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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© 2010 Chevron Corporation

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Overview

Methodology: Qualitative Analysis, continued
For example, a post that was very favorable about Alternatives and Renewables but very unfavorable about Wave Power would be scored “5” for Alternatives, “1” for Wave Power and “4” overall. The overall score was based on the general tone of the article; it was not merely an average of the individual scores. Further, net sentiment was calculated based on a weighted average of positive and negative sentiment. The analysts also developed a detailed taxonomy of trigger words that signaled why the post was positive or negative in sentiment. This dictionary of more than 1,000 words was combined with SM2’s existing semantic dictionary in order to provide heightened assurance that the semantic engine was properly scoring conversations. Edelman reviewed a sample of the conversations scored by SM2 and is confident in its semantic scoring. This methodology was applied to the evaluation of six previous quarterly reviews of the online conversation about energy issues. For the purposes of the Pulse Report, SM2 scored 16.4 million posts across 74 subtopics over 18 months. Comparing this analysis with other evaluations of the online conversation about specific issues, Edelman is confident that this examination represents one of the most comprehensive analyses of online conversation available.

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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© 2010 Chevron Corporation

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Overview

Executive Summary: April 1, 2009 – September 30, 2010
There were 16.4 million posts about Energy Resources, Energy and Technology, and Energy and Environment from April 1, 2009, through September 30, 2010. The average sentiment of conversation for this sample was neutral: 3.01 on a 5.00 Likert scale. Of the three categories analyzed, Energy and Technology was the only category that had a positive net sentiment of 3.38 during the 18month period. Energy Resources received a net sentiment of 2.52, followed by Energy and Environment with the lowest net sentiment score, 2.50. Energy and Technology was discussed in roughly 9.6 million posts over the 18-month period – the largest volume of online conversation among the three categories examined. It also experienced the most growth over time, increasing from 764,000 posts in the second quarter of 2009 to 2.8 million in the third quarter of 2010.   Energy Resources produced the lowest volume of discussion, with approximately 1.8 million posts. Of the eight key topics*, Alternatives and Renewables generated the largest volume of online discussion, with 4.7 million posts – almost 30 percent of the conversation. Energy Security produced the smallest volume of conversation, with 185,000 posts. All three topics under the Energy and Technology category received positive net sentiment scores, with the highest score (3.45) going to Energy Efficiency. In contrast, all three topics under the Energy Resources category were negative in sentiment, the lowest (2.40) being Access, which fell in sentiment in each of the last four quarters.

 

*See page 4 for a list of the eight key topics.

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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© 2010 Chevron Corporation

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Overview

Executive Summary: July 1, 2010 – September 30, 2010
During the third quarter of 2010, the volume of online conversation about energy grew by 21 percent, from 3.6 million to 4.4 million posts. Energy and Technology captured 65 percent of the discussion generated by the three energy categories during the quarter, with 2.8 million posts. This was a 31 percent increase in volume from the previous quarter. Energy and Technology was also the only category that gained a positive net sentiment (3.41) in the third quarter of 2010. Energy Resources was the lowest in sentiment (2.46) and volume (470,000 posts), both of which decreased slightly from the second quarter of 2010. During the third quarter of 2010, the volume of online discussion about Energy and Environment reached more than 1 million posts, a growth of more than 9 percent from the previous quarter.  Of the three key Energy Resources topics examined, Access received the lowest net sentiment (2.16). The tone of discussion about the Outer Continental Shelf (OCS), a subtopic under Access, was the most negative of all the Energy Resources subtopics, with a net sentiment of 2.01. Discussion pertaining to Deep Water – a subtopic included under the Energy and Technology category – remained negative in the third quarter of 2010 (2.01), but improved in tone by roughly 7 percent from the previous quarter (1.88). Volume for this subtopic decreased by almost 33 percent, from approximately 85,000 posts in the second quarter to 57,000 in the third quarter. Of the two key topics captured under the Energy and Environment category – Climate Change and Environment, Resources and Policy – the latter improved in sentiment from the second quarter of 2010. However, Climate Change dropped in tone to 2.38 – a 6 percent decrease from the previous quarter.

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Prepared by Edelman

© 2010 Chevron Corporation

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Overview

The Online Energy Conversation Volume
There were 16.4 million online posts about Energy Resources, Energy and Technology, and Energy and Environment from April 2009 through September 2010. Of those posts, 4.4 million occurred from July 2010 through September 2010.

18 MONTHS
April 1, 2009 – September 30, 2010 (Millions)

3 MONTHS
July 1, 2010 – September 30, 2010 (Millions)

Energy Resources (1.8) Energy and Environment (5.0)

Energy Resources (.47) Energy and Environment (1.1)

11% 31%

11%

24%

58%

65%
Energy and Technology (2.8)
| Prepared by Edelman © 2010 Chevron Corporation | 10

Chart 1.1

Energy and Technology (9.6)

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Overview

Timeline of the Energy Conversation: 2Q 2009 – 3Q 2010
April 1, 2009 – September 30, 2010
Congressional Budget Office (CBO) releases report on impacts of ethanol (APRIL) California Air Resources Board (CARB) votes in support of the Low Carbon Fuel Standard (APRIL) CAFE fuel economy standards revised (MAY) House passes WaxmanMarkey bill (JUNE) Hacked emails from the University of East Anglia Climate Research Unit released (NOV) United Nations Framework Convention on Climate Change in Copenhagen (DEC) EPA announces regulation of carbon (DEC) Obama Administration announces new tax credits to create green jobs (JAN) State of the Union address delivered by U.S. President Barack Obama (JAN) Plan to expand oil and natural gas drilling of U.S. shores set forth by Interior Secretary Salazar (MAR) Deepwater Horizon drilling rig explodes in the Gulf of Mexico (APRIL) Earth Day 2010 (APRIL) G20 Summit kicks off in Canada (JUNE) BP Announces no oil flowing into Gulf of Mexico (JULY) Top regulators say temporary halt to deepwater drilling will remain for a few more months (AUG) Mariner Energy’s Vermilion 380 platform catches fire in the Gulf of Mexico (SEPT)

G8 Summit (JULY) EPA announces rules to regulate greenhouse gases (SEPT) Senate introduces Kerry-Boxer climate bill (SEPT)

3,000,000 2,500,000 Volume of Online Conversations 2,000,000 1,500,000 1,000,000 500,000 0

2Q09

3Q09

4Q09

1Q10

2Q10

3Q10

Energy Resources
Chart 1.2
Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010 |

Energy and Environment

Energy and Technology

Prepared by Edelman

© 2010 Chevron Corporation

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Overview

Timeline of the Energy Conversation: 3Q 2010
JULY 8 A federal appeals court rejects the U.S. government’s effort to restore an offshore deepwater oil drilling moratorium JULY 15 BP announces no oil flowing to into Gulf of Mexico; testing of cap ensues JULY 28 U.S. National Oceanic and Atmospheric Administration (NOAA) issues “2009 State of the Climate” report AUGUST 4 U.S. government releases new report saying 74% of spilled oil from the Deepwater Horizon incident has been contained or mitigated AUGUST 23 Top federal offshore oil drilling regulators say temporary halt to deepwater drilling will remain in place AUGUST 31 Greenpeace protestors board oil rig off the coast of Greenland SEPTEMBER 2 Mariner Energy’s Vermillion 380 platform catches fire in the Gulf of Mexico SEPTEMBER 23 European nations reject a proposl to ban deepwater drilling in the northeast Atlantic SEPTEMBER 27 U.S. lawmakers urge President Barack Obama to challenge China on clean energy production
Chart 1.3
Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010 | Prepared by Edelman © 2010 Chevron Corporation | 12

Overview

Volume and Net Sentiment of Online Conversations About Energy
Online conversation about Alternatives and Renewables was the highest in volume during the third quarter of 2010. Energy Efficiency had the most positive conversation, with a net sentiment of 3.52. Access had the most negative conversation, with a net sentiment of 2.16. Energy Security had the lowest volume of online conversation.
High Volume/ Negative Sentiment 1,400,000 High Volume/ Positive Sentiment

July 1, 2010 – September 30, 2010

1,200,000 Volume of Online Conversations

Alternatives and Renewables Technology and Innovation

1,000,000

800,000

600,000

Climate Change Environment, Resources and Policy Energy Reserves Access

Energy Efficiency

400,000

200,000

0 Chart 1.4 1.0 1.5 Low Volume/ Negative Sentiment 2.0 2.5 3.0

Energy Security
3.5 4.0 Sentiment of Online Conversations
| Prepared by Edelman

4.5 5.0 Low Volume/ Positive Sentiment
© 2010 Chevron Corporation | 13

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Overview

Sentiment Trends of Online Conversations About Energy
Energy Security and Environment, Resources and Policy increased in sentiment by 16 percent and 18 percent, respectively, during the third quarter of 2010. Climate Change and Access both became more negative in sentiment.
April 1, 2009 – September 30, 2010
Eight Key Topics Environment, Resources and Policy Climate Change Alternatives and Renewables Energy Efficiency Technology and Innovation Access Energy Reserves Energy Security 3.58 3.60 2.64 2.80 2.88 3.70 3.33 2.72 2.75 2.79 3.60 3.46 2.66 2.54 2.61 3.29 3.44 2.54 2.45 2.64 Positive (3.10–5.00) Neutral (2.90–3.09) Negative (1.00–2.89) 3.30 3.28 2.43 2.43 2.67 3.52 3.42 2.16 2.55 3.10 2.54 3.39 2.46 3.42 2.33 3.32 2.18 3.25 2.52 3.34 2.38 3.36 2Q09 3.19 3Q09 3.30 4Q09 3.10 1Q10 3.12 2Q10 2.56 3Q10 3.01

Sentiment Trends of Online Conversations Legend: Chart 1.5
Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010 |

>0.10 Change: Positive Negative

Prepared by Edelman

© 2010 Chevron Corporation

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Overview

Online Conversation Platforms Volume
Social Networks, such as Facebook, generated the largest volume of the online energy conversation that surfaced on social media platforms during the second quarter of 2010, followed by Microblogs such as Twitter.
July 1, 2010 – September 30, 2010

Discussion Forums

24%

26%

Microblogs

Blogs

18%

2%

30%

Social Networks

Video/Photos
Chart 1.6
Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010 | Prepared by Edelman © 2010 Chevron Corporation | 15

The Online Conversation About:

ENERGY RESOURCES

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Energy Resources

Summary of the Online Conversation
There were nearly 1.8 million online posts about Energy Resources during the 18-month period from April 2009 through September 2010. During this time, Energy Resources accounted for less than 11 percent of the online energy conversation examined by the Pulse Report. In the third quarter of 2010, the volume of online discussion about and the net sentiment for Energy Resources was fairly consistent with the previous quarter. The discussion sparked nearly 470,000 posts – a slight decrease from the previous quarter. The net sentiment for Energy Resources was 2.46 out of 5.00 – the same as the quarter before. Of the three key Energy Resources topics examined, Access received the lowest net sentiment (2.16). In contrast, Energy Security improved in sentiment (3.10), which is the highest score received by this topic over the past six quarters. Net sentiment for Access continued its trend downward, from 2.43 in the second quarter of 2010 to 2.16 in the third quarter. Similarly, the volume of discussion about this key topic decreased to approximately 168,000 posts – a drop of almost 25 percent from the previous quarter.  From July to September 2010, the tone of discussion about the Outer Continental Shelf, a subtopic under Access, was the most negative of all the Energy Resources subtopics, with a net sentiment of 2.01. Energy Reserves generated almost 260,000 posts, the highest volume of the Energy Resources topics. All subtopics under this key topic increased in volume, with reference to Strategic Petroleum Reserve increasing nearly 300 percent in the third quarter of 2010. From the second to the third quarter of 2010, Energy Independence and “Foreign” Oil – two subtopics under the Energy Security discussion – both decreased in volume but increased in sentiment.

KEY ENERGY RESOURCES TOPICS EXAMINED: • Access • Energy Reserves • Energy Security

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Energy Resources
Taxonomy
Category

ENERGY RESOURCES
ENERGY RESOURCES
Outer Continental Shelf (OCS) Arctic National Wildlife Refuge (ANWR) U.S. Domestic Access Oil Shale Oil Sands Natural Gas

Key Topics

ACCESS

ENERGY SECURITY
Energy Security Energy Independence “Foreign” Oil

Subtopics

Energy Reserves Peak Oil Strategic Petroleum Reserve (SPR) Capacity Refineries Energy Supply

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Energy Resources
Access

Topics Explored in the Online Conversation
Energy Reserves
 Energy Reserves: Reserves of energy resources, including natural gas and oil. A reserve is the amount of commercially recoverable energy still remaining at a location. Peak Oil: Defined as the point in time when the maximum rate of extraction of the world’s petroleum supply is met and subsequently followed by the terminal decline of production. Strategic Petroleum Reserve (SPR): America’s storage of oil maintained by the U.S. Department of Energy for future emergency situations involving U.S. energy supply. Capacity: The level of production for individual refineries as well as total production for all refineries. Refineries: Oil refineries or the oil refining process. Energy Supply: The supply of energy resources, such as oil or natural gas. Outer Continental Shelf (OCS): Oil or drilling in the OCS offshore areas that lie between the jurisdiction of individual U.S. states and the federal government, generally three miles to 200 miles off the coast. Arctic National Wildlife Refuge (ANWR): Oil or drilling in the ANWR, a 19 million-acre area that lies in the northeast corner of Alaska, a portion of which could be designated for oil and natural gas exploration. U.S. Domestic Access: Access to or exploration of U.S. energy resources. Oil Shale: An organic-rich sedimentary rock that can be used to produce liquid hydrocarbons or converted into various forms of oil. Oil Sands: Unconventional oil that comprises a natural mixture of sand, water and a form of petroleum called bitumen. Natural Gas: Natural gas supply in the United States.

 

  

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Energy Resources
Energy Security

Topics Explored in the Online Conversation, continued
Energy Security: The issue of U.S. national security involving energy, such as rising costs or limited supplies. Energy Independence: Energy independence or energy dependence refers to whether a country can rely on its own resources for energy production or turns to other countries for energy supplies. “Foreign” Oil: Supplies of oil from non-U.S. sources.

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Energy Resources

Volume and Net Sentiment of Online Conversations
Of the three key Energy Resources topics examined, Energy Reserves had the highest volume of online conversation during the third quarter of 2010. Energy Security had the only positive conversation but was the lowest in volume.
High Volume/ Negative Sentiment 300,000

July 1, 2010 – September 30, 2010

High Volume/ Positive Sentiment

Volume of Online Conversations

250,000

Energy Reserves

200,000

Access
150,000

100,000

50,000

Energy Security

0 Chart 2.1 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 Low Volume/ Negative Sentiment Sentiment of Online Conversations
| Prepared by Edelman

Low Volume/ Positive Sentiment
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Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Energy Resources

Volume of Online Conversations
Outer Continental Shelf (OCS) comprised the largest share of the online conversation about Energy Resources during the third quarter of 2010, followed by Capacity and Energy Reserves.
10 Energy Resources Subtopics* July 1, 2010 – September 30, 2010
OCS U.S. Domestic Access Oil Shale Oil Sands Energy Reserves Peak Oil Capacity Energy Security Energy Independence "Foreign" Oil 3.07% 3.29% 3.42% 4.35% 22.35% 1.50% 0.66% 5.49% 15.94% 24.10%

0%

5%

10%

15%

20%

25%

30%

Percentage of Online Conversations About Energy Resources – 470,000 Total
*Ten of 15 Energy Resources subtopics

Chart 2.2
Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010 | Prepared by Edelman © 2010 Chevron Corporation | 22

Energy Resources

Net Sentiment and Sentiment Volume of Online Conversations
Energy Independence was the most favorable conversation during the third quarter of 2010, with a positive net sentiment of 3.53. Outer Continental Shelf (OCS) was quite negative and decreased in sentiment from the previous quarter.
10 Energy Resources Subtopics* July 1, 2010 – September 30, 2010
Category Net Sentiment 6,000 4,000 2,000 0 -2,000 -4,000 -6,000 -8,000 -10,000 -12,000 -14,000 OCS U.S. Domestic Access Oil Shale Oil Sands Energy Reserves Peak Oil Capacity Energy Energy “Foreign” Security Independence Oil

2.01
3,702

2.75

3.20

2.37
1,869

2.49
2,389

2.47
1,675

2.87
3,799

3.14
1,049

3.53
2,029

2.64
1,186

Sentiment Volume**

Negative Positive

362

249 – 216 – 3,991 – 5,531

– 518

– 3,215 – 4,628

– 957

– 1,115

– 2,022

– 13,037 96,493 6,160 2,633 19,954 66,977 15,537 96,571 12,396 12,329 12,848

Neutral Volume Chart 2.3

*Ten of 15 Energy Resources subtopics **Number of positive, negative and neutral posts rated by the SM2 social media monitoring tool

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Energy Resources

Sentiment Trends of Online Conversations

The online conversation about Energy Security and Energy Independence increased to a positive sentiment during the third quarter of 2010. Outer Continental Shelf dropped to its lowest sentiment in the past 18 months. Also, while “Foreign” Oil remained negative in the third quarter of 2010, it was less negative than it had been in the previous five quarters. April 1, 2009 – September 30, 2010
10 Energy Resources Subtopics* Outer Continental Shelf U.S. Domestic Access Oil Shale Oil Sands Energy Reserves Peak Oil Capacity Energy Security Energy Independence “Foreign” Oil 2.76 3.00 2.35 2.53 2.68 2.33 3.20 3.16 3.31 2.40 3.05 2.93 2.46 2.36 2.49 2.39 3.21 3.15 3.18 2.20 2.96 2.78 3.34 2.52 2.44 2.27 3.01 3.07 2.91 2.19 2.72 2.82 2.73 2.24 2.41 2.34 2.74 2.98 2.96 2.13 Positive (3.10–5.00) Neutral (2.90–3.09) Negative (1.00–2.89) 2.42 2.76 3.37 2.43 2.45 2.50 2.69 2.85 3.00 2.34 2.01 2.75 3.20 2.37 2.49 2.47 2.87 3.14 3.53 2.64 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10

Chart 2.4

Sentiment Trends of Online Conversations Legend:
*Ten of 15 Energy Resources subtopics

>0.10 Change: Positive Negative
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Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Energy Resources
High Volume/ Negative Sentiment 120,000

Access: Volume and Net Sentiment of Online Conversations
Similar to last quarter, Oil Shale was the only subtopic that was positive in sentiment during the third quarter of 2010. Outer Continental Shelf (OCS) was the most negative subtopic and generated the largest volume of online conversation.
July 1, 2010 – September 30, 2010
High Volume/ Positive Sentiment

OCS
100,000 Volume of Online Conversations

80,000

60,000

40,000

Oil Sands
20,000

Natural Gas ANWR*
1.0 1.5 2.0 2.5 Low Volume/ Negative Sentiment

0

U.S. Domestic Access Oil Shale
3.0 3.5 4.0 4.5 5.0 Low Volume/ Positive Sentiment

Chart 2.5

Sentiment of Online Conversations
*Arctic National Wildlife Refuge

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Energy Resources

Access: Volume Trend of Online Conversations
Online conversation about the Outer Continental Shelf (OCS) continued to be the main driver of discussion regarding Access. OCS spiked in volume during the second quarter of 2010 (growing 305 percent), but then fell 35 percent during the third quarter of 2010. 200,000 180,000 Online Conversation Volume 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0 2Q09
Chart 2.6

Access* April 1, 2009 – September 30, 2010

ANWR Natural Gas OCS Oil Sands U.S. Domestic Access

3Q09

4Q09

1Q10

2Q10

3Q10

*Five of six subtopics about Access

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Energy Resources
High Volume/ Negative Sentiment

Energy Reserves: Volume and Net Sentiment of Online Conversations
Among the six Energy Reserves subtopics, Capacity was the highest in volume and least negative in sentiment during the third quarter of 2010. Refineries was the most negative, while Strategic Petroleum Reserve (SPR) was the lowest in volume.
July 1, 2010 – September 30, 2010
120,000 High Volume/ Positive Sentiment

100,000 Volume of Online Conversations

Capacity

80,000

Energy Reserves
60,000

40,000

Refineries Peak Oil Energy Supply SPR
1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 Low Volume/ Negative Sentiment Low Volume/ Positive Sentiment
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20,000

0

Chart 2.7

Sentiment of Online Conversations

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Energy Resources

Energy Reserves: Volume Trend of Online Conversations
The volume of conversation about all Energy Reserves subtopics examined increased in volume during the third quarter of 2010. Conversation about Refineries increased the least during the quarter.
Energy Reserves* April 1, 2009 – September 30, 2010

120,000

100,000 Online Conversation Volume

80,000 Capacity 60,000 Energy Reserves Energy Supply Peak Oil 40,000 Refineries

20,000

0
Chart 2.8

2Q09

3Q09

4Q09
|

1Q10

2Q10

3Q10
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*Five of six subtopics about Energy Reserves

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Prepared by Edelman

Energy Resources

Energy Security: Volume and Net Sentiment of Online Conversations
For the second quarter in a row, online conversation about “Foreign” Oil sparked the highest volume of discussion and was the most negative in sentiment (2.64). Conversation about Energy Independence and Energy Security was positive in sentiment.
High Volume/ Negative Sentiment

July 1, 2010 – September 30, 2010

16,200 16,000 Volume of Online Conversations 15,800 15,600 15,400 15,200 15,000 14,800 14,600 14,400 14,200

High Volume/ Positive Sentiment

“Foreign” Oil

Energy Independence

Energy Security
1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0

Chart 2.9

Low Volume/ Negative Sentiment

Sentiment of Online Conversations
| Prepared by Edelman

Low Volume/ Positive Sentiment
© 2010 Chevron Corporation | 29

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Energy Resources

Energy Security: Volume Trend of Online Conversations
The volume of online conversation in two of the three Energy Security subtopics decreased during the third quarter of 2010. Energy Security was the only subtopic that saw an increase in volume, with a 21 percent growth compared with the second quarter of 2010 (14,402 posts). 20,000 18,000 Online Conversation Volume 16,000 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0 2Q09
Chart 2.10
Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010 | Prepared by Edelman © 2010 Chevron Corporation | 30

Energy Security April 1, 2009 – September 30, 2010

Energy Independence Energy Security "Foreign" Oil

3Q09

4Q09

1Q10

2Q10

3Q10

Energy Resources
Blog
Dripping Oil

Sample of Influencers Active in the Online Conversation
Link
http://drippingoil.blogspot.com

Description
Posts about updated news and data on the oil industry, crude oil and natural gas production and supply, and the energy market. Offers business solutions, news and commentary namely for energy professionals and executives. Features commentary, information and insights about energy investing, policy and peak oil.

Energy Digital

http://drippingoil.blogspot.com

GetRealList

http://www.getreallist.com

Platts: The Barrel

http://www.platts.com/weblog/oilblog

Covers the oil markets from a global perspective with real-time analysis on the energy and metals industries.

Speaking of Oil

http://blogs.opisnet.com

Provides breaking news, information and insights on trends and topics related to the energy market.

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The Online Conversation About:

ENERGY AND TECHNOLOGY

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Energy and Technology
 From April 2009 to September 2010, approximately 9.6 million posts about Energy and Technology surfaced online. Almost 2.8 million of those conversations were posted in the third quarter of 2010. Over the course of the 18-month period examined, attention on Energy and Technology drove the general energy-related conversation online, making up nearly 60 percent of the discussion. Compared with the second quarter of 2010, the sentiment of online conversation about Energy and Technology became more positive in the third quarter, rising from 3.31 to 3.41 – equaling the score from the fourth quarter of 2009. Among the three key topics included under the Energy and Technology category, Alternatives and Renewables generated the highest volume of posts (1.2 million). Although this topic improved in sentiment, it fell from being the most positive key topic in the second quarter of 2010 (3.34) to the least positive key topic in the third quarter (3.36).

Summary of the Online Conversation
 In contrast to the drop in sentiment in the second quarter of 2010, conversation related to the Technology and Innovation topic increased in sentiment by more than 4 percent to 3.42. Similarly, Energy Efficiency became more positive in the third quarter of 2010, with a score of 3.52, making it the most positive key topic under the Energy and Technology category. Discussion pertaining to the Energy and Innovation subtopic Deep Water remained negative in the third quarter of 2010 (2.01) but increased by approximately 7 percent from the previous quarter (1.88). Volume for this subtopic decreased from the previous quarter by almost 33 percent, from about 85,000 to 57,000 posts, respectively. KEY ENERGY AND TECHNOLOGY TOPICS EXAMINED: • Energy Efficiency • Technology and Innovation • Alternatives and Renewables

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Energy and Technology
Taxonomy
Category

ENERGY and TECHNOLOGY
TECHNOLOGY and INNOVATION
Deep Water Energy Technologies Fuel Cell Directional Drilling Intercropping Gas-to-Liquids (GTL) Energy Innovation Steamflooding Solar-to-Steam Gasification Liquefied Natural Gas (LNG) Exploration and Development Carbon Capture and Storage (CCS) Carbon Capture Carbon Sequestration Cleantech Hydraulic Fracturing Seismic Imaging/ Visualization Enhanced Oil Recovery
| Prepared by Edelman © 2010 Chevron Corporation | 34

Key Topics

ENERGY EFFICIENCY
Energy Efficiency Fuel Efficiency Energy Conservation Energy Efficiency Policy Fuel Efficiency Policy

ALTERNATIVES and RENEWABLES
Biofuels Ethanol Alternatives and Renewables Geothermal Solar Wind Hydrogen Nuclear Ocean Algae Cellulosic Ethanol Corn-Based Ethanol Nonfood Biofuels Biohydrocarbons Clean Energy

Subtopics

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Energy and Technology
Energy Efficiency

Topics Explored in the Online Conversation
Technology and Innovation
   Deep Water: Exploring and producing oil and gas off the coastline in water depths of 1,000 ft or more. Energy Technologies: Technological processes or innovations associated with producing energy. Fuel Cell: An electrochemical cell that combines a fuel source (e.g., hydrogen) with an oxidant (e.g., water) to produce an electrical current, commonly used to power vehicles. Directional Drilling: Drilling nonvertical wells that can extract oil and natural gas from a single point across a vast territory. Gas-to-Liquids (GTL): Converting gaseous compounds into hydrocarbon-based liquids such as gasoline. Intercropping: Energy industry’s adoption of the agricultural practice of growing one crop between the rows of another crop of a separate source; commonly used to harvest biomass. Steamflooding: Enhanced oil recovery process of injecting steam into heavy oil reservoirs to heat the crude oil underground, reducing its viscosity and allowing its extraction through wells.
© 2010 Chevron Corporation | 35

Energy Efficiency: Reducing the amount of energy needed to perform a process, from heating a home to powering a factory. Fuel Efficiency: Efficiency of a particular vehicle measured by its total output (i.e., mileage) in comparison to amount of input (i.e., fuel). Also related to fuel economy indicated by miles per gallon (mpg) or kilometers per liter (km/L). Energy Conservation: Reduction of energy consumption. Energy Efficiency Policy: Local, state and national policies, through incentives, tax credits and other policy mechanisms, that are designed to reduce the amount of energy used. Fuel Efficiency Policy: Regulations and legislation at the local, state and national levels, such as emissions performance standards, that are used to set new thresholds in emission control technology.

 

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Energy and Technology
Technology and Innovation, continued
  Energy Innovation: Advancements made in the development of energy sources.

Topics Explored in the Online Conversation, continued
 Cleantech: Energy products and services that increase efficiency while reducing costs, energy consumption and environmental impact. Hydraulic fracturing: Recovery of natural gas and oil from rock formations deep below the earth’s surface through the injection of fluid pressure into targeted fractures in the rock. This creates a path between the reservoir and the well, increasing the amount of oil and natural gas that can be recovered. Seismic Imaging/Visualization: Three-dimensional imaging of subsurface geology that helps petroleum engineers identify possible oil- and gas-bearing formations. The images show a reservoir at different stages of depletion, allowing engineers to improve recovery and produce resources more efficiently. Enhanced Oil Recovery: Technologies such as thermal recovery or gas injection that can be used to increase the amount of oil that can be extracted from an oil field.

Gasification: Producing gas from coal in order to convert it into transportation fuels such as gasoline or diesel. Solar-to-Steam: Generation of steam from captured sunlight to carry out heavy oil extraction. Liquefied Natural Gas (LNG): Liquid form of natural gas for easier storage and/or transportation of natural gas to markets. Exploration and Development: Exploratory ventures and developments of energy resources. Carbon Capture and Storage (CCS): Family of technologies that provide capture and storage of carbon dioxide emissions in deep geologic formations. Carbon Capture: Capturing and compressing of carbon dioxide in the CCS process. Carbon Sequestration: Geo-engineering technique used for the long-term storage of carbon dioxide.

 

 

 

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Energy and Technology
Alternatives and Renewables

Topics Explored in the Online Conversation, continued
Biofuels: Fuels produced from renewable biological resources, including vegetable oil – and animal fat – based diesel fuels. Ethanol: Flammable, colorless liquid that can be used as a fuel or fuel additive. Alternatives and Renewables: Nontraditional sources of energy and those that can be produced from naturally replenishing resources, such as solar, wind or wave power. Geothermal: A source of energy that is generated by extracting heat from the earth. Solar: Generation of electricity from sunlight. Wind: Power of wind converted into a usable form of energy that can be harnessed to produce electricity. Hydrogen: Generating power from hydrogen and fuel cells, which are electrochemical cells that generate electricity through the reactions between hydrogen and water. Nuclear: Energy produced from controlled nuclear reactions.      Ocean: Energy generation through the movement of ocean surface waves. Algae: Use of the photosynthetic organism algae to create a biofuel by converting carbon dioxide and sunlight into oxygen and biomass. Cellulosic Ethanol: Biofuel produced from wood, grasses or nonedible plant parts. Corn-Based Ethanol: Form of ethanol produced from corn through industrial fermentation and distillation. Nonfood Biofuels: Ethanol produced from nonfood crops for waste biomass, such as the stalks of wheat and wood. Biohydrocarbons: Fuel source produced by mixing biomass feedstock of plants with hydrogen and another chemical catalyst. Clean Energy: Energy sources that do not pollute the atmosphere or environment when used.

 

   

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Energy and Technology

Volume and Net Sentiment of Online Conversations
Among the three key Energy and Technology topics, Alternatives and Renewables generated the highest volume of online conversation during the third quarter of 2010. Energy Efficiency was the most positive in sentiment.
High Volume/ Negative Sentiment

July 1, 2010 – September 30, 2010

1,400,000

High Volume/ Positive Sentiment

1,200,000 Volume of Online Conversations

Alternatives and Renewables

1,000,000

Technology and Innovation

800,000

600,000

Energy Efficiency

400,000

200,000

0 Chart 3.1 1.0 1.5 Low Volume/ Negative Sentiment 2.0 2.5 3.0 3.5 4.0 Sentiment of Online Conversations
| Prepared by Edelman

4.5 5.0 Low Volume/ Positive Sentiment
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Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Energy and Technology
Volume of Online Conversations
Of the 10 Energy and Technology subtopics in the chart below, Liquefied Natural Gas produced the largest volume of online conversation during the third quarter of 2010, followed by Solar. As with the previous quarter, Carbon Capture remained lowest in volume.
10 Energy and Technology Subtopics* July 1, 2010 – September 30, 2010

Biofuels Solar Wind Nuclear Energy Efficiency Energy Conservation Deep Water Clean Energy Liquefied Natural Gas Carbon Capture 0.31%

2.46% 11.10% 7.75% 5.66% 5.31% 5.34% 2.02% 3.23% 12.10%

0%

2%

4%

6%

8%

10%

12%

14%

Percentage of Online Conversations About Energy and Technology – 2.8 Million Total
*Ten of 39 Energy and Technology subtopics

Chart 3.2
Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010 | Prepared by Edelman © 2010 Chevron Corporation | 39

Energy and Technology

Net Sentiment and Sentiment Volume of Online Conversations
Energy Efficiency was the most favorable of the Energy and Technology subtopics during the third quarter of 2010. Solar and Carbon Capture also were very positive. Conversely, Deep Water was the most negative subtopic.
10 Energy and Technology Subtopics* July 1, 2010 – September 30, 2010
Category Net Sentiment 100,000 Negative Positive 80,000 60,000 40,000 20,000 0 -20,000 -40,000 -60,000 -80,000 Neutral Volume Chart 3.3 56,903 262,147 184,616 130,423 116,415 130,038 46,805 72,041 – 4,652 – 15,819 – 13,809 – 22,123 – 5,328 – 13,597 8,254 37,520 21,840 8,197 29,114 8,001 1,670 – 9,008 12,658 930 – 432 – 7,171 – 62,304 Biofuels Solar Wind Nuclear Energy Conservation Deep Water Efficiency Clean Energy Liquefied Natural Gas Carbon Capture

3.50

3.68

3.41

2.33

4.05

2.65

2.01

3.44

3.40
88,517

3.65

Sentiment Volume**

193,064

7,413

*Ten of 39 Energy and Technology subtopics **Number of positive, negative and neutral posts rated by the SM2 social media monitoring tool

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Energy and Technology

Sentiment Trends of Online Conversations
Like the second quarter of 2010, Deep Water received the most negative conversation sentiment score among the Energy and Technology subtopics during the third quarter of 2010; however, it increased in sentiment by 8 percent compared with the previous quarter. Online discussion of Wind, Carbon Capture and Energy Conservation became more positive during the third quarter of 2010.
April 1, 2009 – September 30, 2010
10 Energy and Technology Subtopics* Biofuels Solar Wind Nuclear Energy Efficiency Energy Conservation Deep Water Clean Energy Liquefied Natural Gas Carbon Capture Chart 3.4 3.43 3.83 3.78 2.82 4.01 2.62 3.79 3.62 3.12 3.34 3.48 3.87 3.47 2.85 4.05 2.72 3.92 3.43 2.91 3.16 3.35 3.53 3.04 2.45 4.05 2.72 3.58 3.83 3.38 3.54 3.23 3.64 3.15 2.38 4.00 2.42 3.56 3.60 3.29 3.52 3.47 3.73 3.25 2.36 4.12 2.39 1.88 3.58 3.63 3.43 3.50 3.68 3.41 2.33 4.05 2.65 2.01 3.44 3.40 3.65 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10

Sentiment Trends of Online Conversations Legend:
*Ten of 39 Energy and Technology subtopics

Positive (3.10–5.00) Neutral (2.90–3.09) Negative (1.00–2.89)

>0.10 Change: Positive Negative
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Energy and Technology

Energy Efficiency: Volume and Net Sentiment of Online Conversations
Online conversation related to Fuel Efficiency and Energy Efficiency was high in volume and positive in sentiment during the third quarter of 2010. Though also high in volume, conversation about Energy Conservation was the most negative in sentiment among the five subtopics.
High Volume/ Negative Sentiment 250,000

July 1, 2010 – September 30, 2010

High Volume/ Positive Sentiment

Fuel Efficiency
200,000

Volume of Online Conversations

150,000

Energy Conservation

Energy Efficiency

100,000

50,000

Energy Efficiency Policy Fuel Efficiency Policy
0 Chart 3.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 Low Volume/ Negative Sentiment Sentiment of Online Conversations
| Prepared by Edelman

Low Volume/ Positive Sentiment
© 2010 Chevron Corporation | 42

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Energy and Technology

Energy Efficiency: Volume Trend of Online Conversations
The volume of online conversation about both Fuel Efficiency and Fuel Efficiency Policy increased by 29 percent from the second quarter of 2010 to the third quarter of 2010. Conversation about Energy Conservation decreased in volume by 5 percent during the third quarter of 2010. 250,000
Energy Efficiency April 1, 2009 – September 30, 2010

Online Conversation Volume

200,000

150,000

Energy Conservation Energy Efficiency Energy Efficiency Policy

100,000

Fuel Efficiency Fuel Efficiency Policy

50,000

Chart 3.6

0 2Q09 3Q09 4Q09
|

1Q10

2Q10

3Q10
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Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Prepared by Edelman

Energy and Technology

Technology and Innovation: Volume and Net Sentiment of Online Conversations
High Volume/ Negative Sentiment

During the third quarter of 2010, Energy Technologies had the largest volume of discussion among the 19 Technology and Innovation subtopics. Deep Water was the most negative in sentiment (2.01), followed by Hydraulic Fracturing (2.15).
July 1, 2010 – September 30, 2010
High Volume/ Positive Sentiment
A. B. Carbon Capture Carbon Capture & Sequestration Carbon & Sequestration Cleantech Directional Drilling Fuel Cell Gasification Gas-to-Liquids Intercropping Oil Recovery Seismic Imaging/Visualization Solar-to-Steam Steamflooding

400,000 350,000 Volume of Online Conversations 300,000 250,000 200,000 150,000 100,000 50,000 0

Energy Technologies Exploration and Development

C. D. E. F. G. H. I. J. K. L. M.

Liquefied Natural Gas

Innovation Deep Water Hydraulic Fracturing
A, B, C, E, K, M L

G 3.0 3.5

I

F

D

H

J

Chart 3.7

1.0 1.5 Low Volume/ Negative Sentiment

2.0

2.5

4.0

Sentiment of Online Conversations
| Prepared by Edelman

4.5 5.0 Low Volume/ Positive Sentiment
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Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Energy and Technology

Technology and Innovation: Volume Trend of Online Conversations
The volume of online conversation about Liquefied Natural Gas spiked during the third quarter of 2010, growing 244 percent compared with the second quarter of 2010. Deep Water decreased 32 percent in conversation volume during the third quarter of 2010. 400,000 350,000 Online Conversation Volume 300,000 250,000 200,000 150,000 100,000 50,000 0
Chart 3.8

Technology and Innovation* April 1, 2009 – September 30, 2010

Energy Technologies Exploration and Development Deep Water Innovation Liquefied Natural Gas

2Q09

3Q09

4Q09
|

1Q10

2Q10

3Q10
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*Five of 19 subtopics about Technology and Innovation

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Energy and Technology

Alternatives and Renewables: Volume and Net Sentiment of Online Conversations
Negative Sentiment

During the third quarter of 2010, the subtopics Solar, Wind and Alternatives and Renewables led the online conversation in volume, and all were positive in sentiment. Overall, the majority of the other subtopics were positive in sentiment, with the exception of Nuclear and Ocean. High Volume/ High Volume/ July 1, 2010 – September 30, 2010
350,000 Positive Sentiment

Solar
300,000 Volume of Online Conversations

A. B. C. D.

Algae Cellulosic Ethanol Nonfood Biofuels Ocean

250,000

Wind
200,000

Alternatives and Renewables Nuclear Clean Energy Ethanol Hydrogen D Corn-Based Ethanol
1.0 1.5 2.0 2.5 3.0 Low Volume/ Negative Sentiment

150,000

100,000

Biofuels Geothermal Biohydrocarbons A B
3.5 4.0 4.5 5.0 Low Volume/ Positive Sentiment
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50,000

0 Chart 3.9

C

Sentiment of Online Conversations
| Prepared by Edelman

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Energy and Technology

Alternatives and Renewables: Volume Trend of Online Conversations
The online conversation about Solar continued to have the largest volume of discussion among the Alternatives and Renewables subtopics. Clean Energy decreased slightly (2 percent) in conversation volume during the third quarter of 2010.
Alternatives and Renewables* April 1, 2009 – September 30, 2010

350,000 300,000 Online Conversation Volume 250,000 200,000 150,000 100,000 50,000 0 2Q09 3Q09 4Q09
|

Alternatives and Renewables Clean Energy Nuclear Solar Wind

Chart 3.10

1Q10

2Q10

3Q10
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*Five of 15 subtopics about Alternatives and Renewables

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Energy and Technology
Blog
Alt Energy Stocks

Sample of Influencers Active in the Online Conversation
Link
http://www.altenergystocks.com

Description
Provides original research into alternative energy, renewable energy and clean technology companies. Spotlights major events emerging in the nuclear technology space and draws attention to atomic technology development, security and consequences of its usage. Compiles research, advisory and networking opportunities for the global clean technology industry. Highlights local and global advancements and information about green consumer technology ranging from green gadgets to renewable energy. Serves as a forum to showcase, learn, share and explore emerging green technologies and innovations.

Atom Watch

http://atomwatch.blogspot.com

Cleantech Insights

http://blog.cleantech.com

EarthTechling

http://www.earthtechling.com

The Renewable Energy Blog

http://www.renewable-energy-blog.com

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The Online Conversation About:

ENERGY AND ENVIRONMENT

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Energy and Environment
Summary of the Online Conversation
 From April 2009 to September 2010, online conversation about Energy and Environment was the most negative in sentiment compared with the other two categories examined. It came second in volume, garnering approximately 5 million posts over the 18-month period. During the third quarter of 2010, the volume of online discussion about Energy and Environment reached more than 1 million posts, a growth of more than 9 percent from the previous quarter. Sentiment for this category rose slightly, from 2.54 in the second quarter of 2010 to 2.56 in the third. Of the two key topics captured under the Energy and Environment category – Climate Change and Environment, Resources and Policy – the latter improved in sentiment from the second quarter of 2010, changing from a negative (2.56) conversation to a neutral one (3.01). Despite a 16 percent increase in sentiment during the second quarter of 2010, (2.52), the tone of discussion for Climate Change dropped to 2.38 in the third quarter. The volume of conversation for Climate Change grew slightly, from approximately 424,000 to 431,000 posts, respectively.  Under the Environment, Resources and Policy topic, Environment and Oil made up the largest share of the discussion during the third quarter of 2010, sparking nearly 146,000 posts online. However, this is a 15 percent decrease in volume for this subtopic from the previous quarter. Sustainability remained the most positive subtopic in the third quarter of 2010, with a sentiment score of 3.91 – a trend that has spanned the past four quarters. Of the 13 Climate Change subtopics, Global Warming and Cooling produced the most volume, with almost 286,000 posts. Emission Control experienced the greatest increase in volume of 72 percent, followed by Carbon Tax and AB32, respectively. In terms of sentiment, the Climate Change subtopic, Copenhagen, saw the most substantial drop in tone, going from a neutral score of 3.00 in the second quarter of 2010, to a negative score of 2.71 in the third quarter. Discussion related to the Intergovernmental Panel on Climate Change (IPCC) remained negative (2.36) but saw the highest increase in sentiment of about 15 percent. KEY ENERGY AND ENVIRONMENT TOPICS EXAMINED: • •
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Environment, Resources and Policy Climate Change
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Prepared by Edelman

Energy and Environment
Taxonomy
Category

ENERGY and ENVIRONMENT
ENVIRONMENT RESOURCES and POLICY
Sustainability Environment and Oil Environment and Gas Environment and Alternatives Environment and Clean Energy Environmental Policy U.S. Environmental Protection Agency (EPA) and Energy

Key Topics

CLIMATE CHANGE
Greenhouse Gas (GHG) Carbon Tax Cap-and-Trade Intergovernmental Panel on Climate Change (IPCC) Climate Policy Kyoto

Subtopics

Copenhagen Emission Control Low-Carbon Fuel Climate and Energy Global Warming and Global Cooling Assembly Bill No. 32 (AB32) U.S. EPA and Carbon

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Energy and Environment
Environment, Resources and Policy
 Sustainability: Sustaining the supply of various energy resources with minimal effects on the environment. Environment and Oil: The environment and oil in either a refined or unrefined state. Environment and Gas: The environment and natural gas. Environment and Alternatives: The environment and alternative energy sources, including solar, wind and geothermal. Environment and Clean Energy: The environment and nonpolluting resources such as nuclear power. Environmental Policy: Environmental policy, legislation and regulations at the local, state, national and international levels. U.S. Environmental Protection Agency (U.S. EPA) and Energy: Energy issues related to the EPA, the federal agency that sets and enforces rules and standards to protect the environment.

Topics Explored in the Online Conversation
Climate Change
 Greenhouse Gas (GHG): Encompasses any of the gases whose absorption of solar radiation is responsible for the atmospheric heating phenomenon known as the greenhouse effect. Carbon Tax: An environmental tax on carbon dioxide emissions that could be implemented by taxing the burning of fossil fuels (e.g., coal, oil) to raise revenues and increase the competitiveness of noncarbon technologies. Cap-and-Trade: An administrative approach to controlling emissions by providing economic incentives for achieving reductions in the emissions of pollutants. Intergovernmental Panel on Climate Change (IPCC): An intergovernmental body tasked with evaluating the risk of climate change. The panel was established in 1988 by two organizations under the United Nations. Kyoto: The Kyoto Protocol, aimed at combating climate change; initially adopted on December 11, 2007, in Kyoto, Japan.

  

 

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Energy and Environment
Climate Change, continued
 Emission Control: Standards and regulations controlling the amount of pollutants released into the environment by motor vehicles, industry facilities and smaller power equipment such as tractors. Low-Carbon Fuel: Lower-carbon-emitting fuels, including some alternative fuels and natural gas. Climate and Energy: Energy sources in relation to climate change. Global Warming and Global Cooling: Changes in the Earth's average atmospheric temperature and corresponding changes in climate. Climate Policy: Legislation designed to regulate greenhouse gas emissions.

Topics Explored in the Online Conversation, continued
 Assembly Bill No. 32 (AB32): California’s climate law, formally known as the Global Warming Solutions Act of 2006, that established a timetable to bring California into near compliance with the provisions of the Kyoto Protocol. Enforced by the California Air Resources Board (CARB), the law requires a plan to reduce the state's greenhouse gas emissions to 1990 levels by 2020. U.S. EPA and Carbon: In 2007, the U.S. Supreme Court held that the EPA has the right to regulate the emission of greenhouse gases under the Clean Air Act “unless it is able to provide a scientific reason for not doing so.” The EPA exercised its authority on December 7, 2009, when it publicly finalized an “Endangerment Finding” on greenhouse gases.

  

 

Copenhagen: Commonly referred to as the Copenhagen summit, the 2009 United Nations Climate Change Conference was held in Copenhagen, Denmark, December 7–18. Global leaders met to negotiate a framework for climate change mitigation around the world.

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Energy and Environment

Volume and Net Sentiment of Online Conversations
Online conversation about Environment, Resources and Policy was lower in volume and more positive in sentiment than Climate Change during the third quarter of 2010. The tone of discussion about Environment, Resources and Policy moved from negative to neutral in the third quarter of 2010.
High Volume/ Negative Sentiment 700,000

July 1, 2010 – September 30, 2010

High Volume/ Positive Sentiment

600,000 Volume of Online Conversations

Climate Change

500,000

Environment, Resources and Policy
400,000

300,000

200,000

100,000

0 Chart 4.1 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 Low Volume/ Negative Sentiment Sentiment of Online Conversations
| Prepared by Edelman

Low Volume/ Positive Sentiment
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Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Energy and Environment
Volume of Online Conversations
Global Warming and Cooling generated the highest volume of conversation among the Energy and Environment subtopics during the third quarter of 2010, followed by Environment and Oil.
10 Energy and Environment Subtopics* July 1, 2010 – September 30, 2010
Sustainability Environment and Oil Environment and Alternatives Environmental Policy Carbon Tax Cap-and-Trade IPCC** Copenhagen Global Warming and Cooling Climate Policy

6.43% 13.76% 4.08% 6.27% 1.59% 4.01% 2.41% 1.36% 27.01% 6.11%

0%

5%

10%

15%

20%

25%

30%

Percentage of Online Conversations About Energy and Environment – 1.1 Million Total
*Ten of 20 Energy and Environment Subtopics **Intergovernmental Panel on Climate Change

Chart 4.2
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Energy and Environment

Net Sentiment and Sentiment Volume of Online Conversations
Among Energy and Environment subtopics, Sustainability was the most favorable conversation during the third quarter of 2010, with a net sentiment of 3.91, followed by Environment and Alternatives (3.78). Global Warming and Cooling was the most negative, with a net sentiment of 2.20.
10 Energy and Environment Subtopics* July 1, 2010 – September 30, 2010
Category Net Sentiment 30,000 20,000 10,000 0 -10,000 -20,000 -30,000 -40,000 -50,000 -60,000 -70,000
Sustainability Environment Environment Environmental and Oil and Policy Alternatives Carbon Tax Cap-and-Trade IPCC Copenhagen Global Warming Climate and Cooling Policy

3.91
8,056

2.55

3.78

3.06

2.50

2.38

2.36

2.71

2.20
23,998

2.68

Sentiment Volume**

Negative Positive

8,911

5,133 – 1,038

3,032 – 2,546

1,344 – 2,545

2,901

1,796 – 4,161

796 – 1,246

2,811

– 1,605 – 15,844

–6,382

– 4,487

– 65,135 58,334 120,828 36,949 60,778 12,968 33,135 19,545 12,349 196,625 57,337

Neutral Volume Chart 4.3

*Ten of 20 Energy and Environment subtopics **Number of positive, negative and neutral posts rated by the SM2 social media monitoring tool

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Prepared by Edelman

© 2010 Chevron Corporation

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Energy and Environment

Sentiment Trends of Online Conversations

Online conversation about Environment and Oil and Environmental Policy improved most significantly in sentiment among the Energy and Environment subtopics during the third quarter of 2010. Discussion about Copenhagen decreased the most, moving from neutral to negative in sentiment. April 1, 2009 – September 30, 2010
10 Energy and Environment Subtopics Sustainability Environment and Oil Environment and Alternatives Environmental Policy Carbon Tax Cap-and-Trade Intergovernmental Panel on Climate Change Copenhagen Global Warming and Cooling Climate Policy Chart 4.4 3.28 2.39 2.61 2.85 2.33 2.61 2.29 2.27 2.41 2.32 2.05 2.53 Positive (3.10–5.00) Neutral (2.90–3.09) Negative (1.00–2.89) 3.00 2.36 2.89 2.71 2.20 2.68 2.95 2.79 2.50 1.86 2.97 2.83 2.47 1.82 2.85 1.76 2.22 2.26 2.99 2.29 2.49 1.71 2.54 2.40 2.47 2.05 3.06 2.50 2.38 2.36 3.87 2.63 3.76 3.81 2.80 3.89 3.85 2.67 3.80 3.80 2.58 3.70 3.85 2.13 3.62 3.91 2.55 3.78 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10

Sentiment Trends of Online Conversations Legend:
*Ten of 20 Energy and Environment subtopics.

>0.10 Change: Positive Negative
© 2010 Chevron Corporation | 57

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Prepared by Edelman

Energy and Environment

Environment, Resources and Policy: Volume and Net Sentiment of Online Conversations
High Volume/ Negative Sentiment

Sustainability was the most positive subtopic within the Environment, Resources and Energy category during the third quarter of 2010. Environment and Oil had the largest volume of conversation but was the most negative in sentiment.
160,000 140,000 Volume of Online Conversations 120,000 100,000 80,000 60,000 40,000 20,000 0 Chart 4.5 1.0 1.5 2.0 2.5 3.0 Low Volume/ Negative Sentiment

July 1, 2010 – September 30, 2010

High Volume/ Positive Sentiment

Environment and Oil

U.S. EPA* and Energy

Sustainability

Environment and Alternatives Environment and Gas Environment and Clean Energy Environmental Policy
3.5
*U.S. Environmental Protection Agency

4.0

4.5

5.0

Sentiment of Online Conversations
| Prepared by Edelman

Low Volume/ Positive Sentiment
© 2010 Chevron Corporation | 58

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Energy and Environment

Environment, Resources and Policy: Volume Trend of Online Conversations
Volume of conversation about Environment and Oil decreased 16 percent from the second quarter of 2010 to the third quarter of 2010. Conversation about Environmental Policy increased the most among the subtopics from the second quarter of 2010 to the third quarter of 2010, growing 20 percent. 200,000 180,000 Online Conversation Volume 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0
Chart 4.6

Environment, Resources and Policy* April 1, 2009 – September 30, 2010

Environment and Alternatives Environment and Oil Environmental Policy Sustainability U.S. EPA** and Energy

2Q09

3Q09

4Q09
|

1Q10

2Q10

3Q10
© 2010 Chevron Corporation | 59

*Five of seven subtopics about Environment, Resources and Policy **U.S. Environmental Protection Agency

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Prepared by Edelman

Energy and Environment
High Volume/ Negative Sentiment

Climate Change: Volume and Net Sentiment of Online Conversations
July 1, 2010 – September 30, 2010
High Volume/ Positive Sentiment

As with the previous quarter, the majority of Climate Change subtopics were low in volume and negative in sentiment during the third quarter of 2010. Global Warming and Cooling had the highest volume of online conversation. Kyoto was the only subtopic that was positive.
350,000
A. B. C. D. E. F. AB32** Carbon Tax Emission Control Copenhagen Low-Carbon Fuel U.S. EPA*** and Carbon

300,000 Volume of Online Conversations

Global Warming and Cooling

250,000

200,000

150,000

100,000

Climate and Energy Climate Policy Cap-and-Trade IPCC*
E 1.0 1.5 Low Volume/ Negative Sentiment B, C, D 2.0 2.5

50,000

Greenhouse Gases
F A 3.0

0

Kyoto
3.5 4.0 4.5 5.0 Low Volume/ Positive Sentiment

Sentiment of Online Conversations
*Intergovernmental Panel on Climate Change **California Assembly Bill No. 32 ***U.S. Environmental Protection Agency

Chart 4.7

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Prepared by Edelman

© 2010 Chevron Corporation

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60

Energy and Environment

Climate Change: Volume Trend of Online Conversations
The conversation volume about Global Warming and Cooling increased by 19 percent during the third quarter of 2010, following a decrease during the first and second quarters of 2010. Climate Policy and Greenhouse Gases increased 10 percent and 9 percent, respectively, during the third quarter of 2010. 450,000 400,000 Online Conversation Volume 350,000 300,000 250,000 200,000 150,000 100,000 50,000 0
Chart 4.8

Climate Change* April 1, 2009 – September 30, 2010

Cap-and-Trade Climate and Energy Climate Policy Global Warming and Cooling Greenhouse Gases

2Q09

3Q09

4Q09
|

1Q10

2Q10

3Q10
© 2010 Chevron Corporation | 61

*Five of 13 subtopics about Climate Change

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

Prepared by Edelman

Energy and Environment
Blog
ChelseaGREEN

Sample of Influencers Active in the Online Conversation
Link
http://www.chelseagreen.com

Description
Publishes content on renewable energy, green building and ethical and sustainable business, among other topics. Serves as an online channel for a national organization working to build a clean energy economy. Features news and information on clean technology development, social issues and the environment relevant to the Middle East and North Africa region. Covers a range of energy topics pertinent to the environment and California. Discusses the future of sustainable design, technology and innovative practices that promote a smarter and more sustainable future.

Green for All

http://www.greenforall.org/blog/

Green Prophet

http://www.greenprophet.com

Green Wombat

http://thegreenwombat.com

Inhabitat

http://inhabitat.com

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Prepared by Edelman

© 2010 Chevron Corporation

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Join the Online Conversation About Energy
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The Chevron Pulse Report(TM) is © 2010 Chevron Corporation. All rights reserved. Chevron hereby grants to any person a royalty-free license to copy the Report in whole or in part. Your license is conditioned upon providing attribution to Chevron (e.g., “Source: Chevron Pulse Report, 3Q 2010 Edition”).

Chevron Pulse Report - 3Q 2010 Edition, April 2009 - September 2010

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Prepared by Edelman

© 2010 Chevron Corporation

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63

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