ExxonMobil Major Projects to Deliver 1 Million Oil-Equivalent Barrels by 2017; Liquids Production to Rise on Average by Four Percent Per Year
Exxon
Mobil Corporation (NYSE:XOM) anticipates major project start-ups
will deliver 1 million oil-equivalent barrels over the next five years,
Rex W. Tillerson, chairman and chief executive officer, said today at
the New York Stock Exchange.
Production of crude oil and other liquids is expected to increase by an
average of four percent per year between 2013 and 2017 as the company
starts production at 28 major oil and gas projects, 24 of which are
liquids or liquids-linked projects. Twenty two major projects will start
production over the next three years, including an expansion of the
Kearl oil sands project in Alberta, Canada, and a liquefied natural gas
export project in Papua New Guinea.
In a presentation to investment analysts, Tillerson said the company has
a growing global portfolio of high-quality resource opportunities with
exploration success most recently in Romania and Tanzania. ExxonMobil is
planning to more than double its exploration acreage in a range of
proven and emerging locations, such as Russia, that will feed its
inventory in the coming years.
To continue to explore for and develop new resource opportunities,
ExxonMobil plans to invest about $190 billion over the next five years
to meet growing energy demand.
'An unprecedented level of investment is needed to develop new energy
technologies to expand supply of traditional fuels and advance new
energy sources,? Tillerson said. 'We are developing a diverse portfolio
of high-quality opportunities across all resource types and geographies.?
At the meeting, the company outlined its major achievements in 2012 and
plans for the future. Highlights include:
ExxonMobil replaced 115 percent of its 2012 production and 174 percent
of its crude oil and other liquids, increasing proved reserves to 25.2
billion oil equivalent barrels. It was the 19th consecutive year the
company replaced more than 100 percent of its production, with proved
reserve additions of 1.8 billion oil-equivalent barrels.
22 major upstream projects are expected to start up in the next three
years, including the Kearl oil sands project in Canada and the
liquefied natural gas project in Papua New Guinea.
In the downstream, the company is progressing new facilities in
Singapore, China and Finland to capture growth in markets like China
and Russia.
A major expansion at the Singapore chemicals facilities was completed,
which adds 2.6 million tonnes per year of additional capacity and will
help meet demand growth in Asia Pacific.
In Saudi Arabia, the company is developing a world-scale synthetic
rubber and special elastomers plant to serve growing demand for these
products in the Middle East and Asia.
ExxonMobil Chemical has filed permit applications for a multi-billion
dollar petrochemical expansion at the company′s integrated Baytown
complex in Texas. The project would include a new ethane cracker and
premium product facilities to capitalize on abundant supplies of U.S.
natural gas.
ExxonMobil continues to lead competitors in return on average capital
employed at 25.4 percent in 2012, about seven percentage points higher
than the nearest competitor.
This is the 11th year that ExxonMobil has made an annual presentation to
analysts at the New York Stock Exchange.
CAUTIONARY STATEMENT: Projections, expectations, business plans, and
other statements of future events or conditions in this release are
forward-looking statements. Actual future results, including capital
expenditures; resource recoveries; production rates and growth; and
project plans, schedules, and outcomes, could differ materially due to
changes in market conditions affecting the oil and gas industry,
including long-term oil and gas price levels; political or regulatory
developments; reservoir performance; timely completion of development
projects; technical or operating factors; the outcome of commercial
negotiations; and other factors discussed in Item 1A of ExxonMobil's
most recent Form 10-K and posted in the Investors section of our website
(www.exxonmobil.com).
Proved reserves in this release for 2009 and later years are based on
current SEC definitions, but for prior years the referenced proved
reserve volumes are determined on bases that differ from SEC definitions
in effect at the time. Specifically, for years prior to 2009 included in
our 19 straight years of at least 100 percent replacement, reserves are
determined using the price and cost assumptions we use in managing the
business, not the historic prices used in SEC definitions. Reserves
determined on ExxonMobil's pricing basis also include oil sands and
equity company reserves for all periods. Prior to 2009, oil sands and
equity company reserves were not included in proved oil and gas reserves
as defined by the SEC. The reserves replacement ratio is calculated for
a specified period utilizing the applicable proved oil-equivalent
reserves additions divided by oil-equivalent production.
'Resources' and 'resource base' include quantities of discovered oil and
gas that are not yet classified as proved reserves, but that are
expected ultimately to be recovered in the future. The term 'resource
base? is not intended to correspond to SEC definitions such as
'probable? or 'possible? reserves.
The term 'project? as used in this release does not necessarily have the
same meaning as under SEC Rule 13q-1 relating to government payment
reporting. For example, a single project for purposes of the rule may
encompass numerous properties, agreements, investments, developments,
phases, work efforts, activities, and components, each of which we may
also informally describe as a 'project.?
See the 'Frequently Used Terms' posted in the Investors section of our
website for more information on proved reserves and resources, as well
as information regarding our calculation of return on average capital
employed.
About ExxonMobil
ExxonMobil,
the largest publicly traded international oil and gas company, uses
technology and innovation to help meet the world′s growing energy needs.
ExxonMobil holds an industry-leading inventory of resources, is the
largest refiner and marketer of petroleum products, and its chemical
company is one of the largest in the world. For more information, visit www.exxonmobil.com.
ExxonMobil
Media Relations, 972-444-1107
