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ExxonMobil plans $25bn spend per year to 2025

WASHINGTON, December 2, 2020

ExxonMobil said in its business plan that it plans to spend $16-$19 billion in capital and exploration investments during 2021 and $20 billion to $25 billion annually to 2025 while prioritizing on high-value investments.

The company plans to double earnings by 2027, when viewed on the same price and margin assumptions used in the 2020 Investor Day materials. It is targeting to preserve the long-term value of the company’s investment portfolio by offsetting costs associated with project delays.

“Recent exploration success and reductions in development costs of strategic investments have further enhanced the value of our industry-leading investment portfolio,” said Darren Woods, chairman and chief executive officer for Exxon Mobil Corporation.

“Continued emphasis on high-grading the asset base - through exploration, divestment and prioritization of advantaged development opportunities - will improve earnings power and cash generation, and rebuild balance sheet capacity to manage future commodity price cycles while working to maintain a reliable dividend.”

Woods said the business environment in the fourth quarter is showing signs of improvement despite the resurgence in Covid-19 cases and accompanying economic restrictions.

“Prices and margins for many of our businesses have improved from the third quarter and when coupled with continuing efforts to reduce spending and capture additional efficiencies, quarter-to-date cash flow has improved versus our plan assumptions,” he added. – TradeArabia News Service




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