(Reuters) - Chevron Corp ( CVX ) is to pay Richmond City Council $550 million over 10 years, the city said in a statement, in a settlement that saw it drop a proposed ballot on a new tax on the oil major's Richmond refinery.

Chevron ( CVX ) did not immediately respond to a Reuters' request for comment.

Richmond planned to seek voters' approval for a tax on the refinery, which processes about 250,000 barrels of crude oil per day, saying Chevron ( CVX ) should pay its fair share to the community it has been in for over a century.

As a result of the settlement the council approved on Wednesday, the city agreed to withdraw the measure, it said in the statement posted on its website.

The company will pay the money in annual installments starting from July 1, 2025 to June 30, 2035, it said.

(Reporting by Ashitha Shivaprasad in Bengaluru; Editing by Emelia Sithole-Matarise)