EXHIBIT 99.1


                     TEXACO, SHELL AND SAUDI ARAMCO ANNOUNCE
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            FORMATION AND OPERATIONAL START-UP OF MOTIVA ENTERPRISES
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FOR IMMEDIATE RELEASE: WEDNESDAY, JULY 1, 1998.
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         WHITE PLAINS,  N.Y., July 1 -- Texaco Inc., Shell Oil Company and Saudi
Aramco  today  announced  the  formation  and  operational  start-up  of  Motiva
Enterprises  LLC,  a  joint  venture  combining  major  elements  of  the  three
companies' eastern and Gulf Coast U.S. refining and marketing businesses.  Shell
has 35 percent  ownership  and  Texaco and Saudi  Refining,  Inc.,  a  corporate
affiliate of Saudi Aramco, each have 32.5 percent ownership of the company.
         Motiva  Enterprises LLC, headquartered  in Houston,  will  market under
the Texaco and Shell  brands.  L. Wilson  Berry,  formerly  President  of Texaco
Refining and Marketing Inc., is President and Chief Executive  Officer of Motiva
Enterprises.
         In  January  1998,   Texaco  and  Shell  announced  the  formation  and
operational  start-up  of a  separate  joint  venture  under  the  name  Equilon
Enterprises LLC. Equilon Enterprises combines the major elements of Texaco's and
Shell's western and Midwestern U.S. refining and marketing  businesses and their
nationwide  transportation  and lubricants  businesses.  Texaco has a 44 percent
ownership in Equilon Enterprises and Shell owns 56 percent of the company.
         In addition to Motiva  Enterprises,  the companies  also  announced the
formation of two jointly  owned units that will support the  operations  of both
Motiva  Enterprises  and Equilon  Enterprises.  Equiva Services LLC will provide
administrative  support  services to the joint venture  companies,  while Equiva
Trading Company will function as the companies' trading unit.
         Seth L.  Sharr,  formerly  President  and CEO of Star  Enterprise,  the
refining and marketing  joint venture  between  subsidiaries of Texaco and Saudi
Aramco, will be President of Equiva Services LLC. Arthur A. Nicoletti,  formerly
President of Texaco Trading and Transportation  Inc., will serve as President of
Equiva Trading Company.
Both units will be based in Houston.

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         The exploration,  production and chemical  businesses of Shell,  Texaco
  and Saudi Aramco are not included in either of the alliances.
         Texaco  Inc.  is  based  in White Plains,  N.Y.  Shell Oil Company is a
Houston-based  affiliate  of the Royal  Dutch/Shell  Group of  Companies.  Saudi
Aramco is the  state-owned  oil  company  of the  Kingdom of Saudi  Arabia.  The
company's U.S. corporate affiliate Saudi Refining, Inc. is based in Houston.

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For more information contact:       Shell Oil Company
                                    Kitty Borah, Stacy Hutchinson,  713-241-4544
                                    Sarah Payne
                                    Texaco
                                    Paul Weeditz (Houston)          713-752-6475
                                    Shawn Frederick (Houston)       713-752-4672
                                    Saudi Refining, Inc.
                                    Henry Hayes                     713-432-4149
                                    Bill Tracy                      713-432-4645