Global energy outlook Demand expected to increase 25% by 2040, oil and gas to remain key Liquids production, mbd 120 demand growth 5% annual base decline 90 decline replacement 60 80% of 2040 demand from new supplies Existing…
Canadas opportunity Uniquely positioned to meet demand, requires global competitiveness Oil reserves, billion barrels 300 Stable, trade-driven economy 200 World scale resources 100 High regulatory standards 0 Technology key to…
Imperials winning formula Increase cash flow, deliver industry-leading returns throughout the cycle Deliver industry Leverage technology, Continue to achieve Be the most Aggressively capture leading integration and improvements in…
Enhancing our portfolio Focusing on highest value assets and core competencies Acquired Startup of Startup of Cold Commissioned Startup of Rebranding Husky Rebranding 200+ interest in first phase Lake Nabiye Edmonton rail second phase…
Scope of operations Nationwide leadership across the full value chain Kearl mining F&L marketing Distribution network Syncrude mining Strathcona refinery Sarnia refinery Cold Lake in situ Sarnia chemical Rail terminal…
Cold Lake Industry-leading in situ operation with continued growth potential Production, kbd1 200 160 History of strong performance 120 Recent growth with Nabiye start-up 80 160 kbd near-term average 40…
Cold Lake enhancement Initiatives to further drive performance and offset natural decline Steam management Wellbore utilization Drilling program Optimize distribution to Maximize use of existing Add wells to sustain and highest…
2017 reliability improvements Actions completed to achieve annual production of 200 kbd Improved ore prep performance + Crushers and dump hoppers + Ore conveyor drive chains + Crusher teeth and bearings Mine equipment Enhanced…
Ongoing reliability improvements Identified opportunities to increase annual production to 240 kbd Add supplemental crushing capacity + Offset equipment downtime + Create surge bin conveyor redundancy Front-end redundancy…
Syncrude High-potential asset with priority on eliminating one-time events Production, kbd1 90 Unplanned downtime reduction + Rigorous inspection, maintenance plans 60 + Bad actor performance improvement 30 Leverage collective…
Near-term production Growth associated with reliability at Kearl and Syncrude Production, koebd1 400 350 Improve ore prep performance at Kearl 300 250 200 YTD17 2017e 2018e Eliminate one-time events at Syncrude 1Gross…
Upstream resources Large, high quality resource base offers significant potential In situ Year-end 2016 resource base, billion boe1 SA-SAGD, 16 CSP, other technologies Other 12 30+ year proved reserve life2 Mining Mining 8…
In situ growth Technology key to meeting economic and environmental objectives Pilot results, indexed 100 50 Projects under regulatory review SA- SAGD SAGD + Aspen: 2 phases, 75 kbd each 0 Capital intensity Cumulative SOR + Cold…
Downstream assets Leveraging operational excellence and integration to capture market value Strathcona Volumes1, kbd refinery 500 Petroleum product sales Capacity 191 kbd Sarnia refinery Capacity 119 kbd 250 Nanticoke…
Refining performance Relentless pursuit of reliability and profitability Utilization, % Regretted loss, % 100 Global best practices + Equipment strategies 90 + Maintenance planning + Turnaround execution 80 Enhancing…
Competitive ranking Leading refining performance in North America, top-tier in Canada Performance Energy Non-energy Total Net cash quartiles efficiency cash opex cost margin 1st 2nd 3rd 4th Imperial refineries Canadian…
Strathcona refinery cogeneration Improve energy efficiency, reduce GHGs and lower operating costs Supports energy efficiency objectives + Similar facilities in use at other operations + Sarnia refinery / Cold Lake / Kearl / Syncrude…
Downstream synergies Value captured through integrated manufacturing and marketing plans Premium customer offering Refining and supply + Quality brands and loyalty programs + Coast to coast supply and customer support + Global…
Fuels marketing Aggressively capturing new business and meeting customer needs New customer offerings Long-term supply agreements Strategic nationwide accounts + Introduction of Synergy fuels + Conversion of Husky truck + Leverage…
Chemical Highly profitable business, leader in North American polyethylene Operational excellence + Facility integrated with Sarnia refinery + Proximity to major customers PE rotational and injection molding Enhancing…
Financial performance Demonstrating value of integration throughout the business cycle Cash from operating activities, billion Five-year average1, % 5 4 3 Upstream Downstream 2 & other 1 0 2012 2013 2014 2015 2016 YTD17 1 For the…
Financial strength Strong balance sheet, optionality and priority access to financial markets 2Q17 debt to capital, % 50 Leverage XOM relationship 25 Borrow on most attractive terms Maintain capital structure flexibility 0 CNQ…
Dividends Committed to paying shareholders a reliable and growing dividend Annual dividend Quarterly average per share1, C WTI, US/bbl 0.75 125 100 100+ years of consecutive payment 0.50 75 23 years of consecutive growth 50 0.25 25…
Share buybacks History of returning cash to shareholders and preserving value Shares outstanding, millions1 2,000 1,500 Repurchased 50% of shares since 1995 1,000 Expanded buyback program June 2017 + Increased NCIB to 3% shares…
Financial resilience Strength provides flexibility under a range of oil prices 2017-21 annual average, C billion 5 4 60 Ability to meet highest priorities 3 50 Significant cash flow leverage 2 Growth 1 Sustaining 40 Flexibility for…
Why Imperial Distinct competitive advantages that deliver long-term value Asset base Growth opportunities High quality, long-life assets across Large inventory of opportunities to support the portfolio future upstream growth…
Question period Imperial 2017 32
For more information: Dave Hughes Manager, Investor Relations +1 587.476.4743 dave.a.hughesexxonmobil.com
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