2019 INVESTOR INFORMATION ExxonMobil Investor Relations All forward-looking statements included in this presentation speak only as of the March 6, 2019 date of their original presentation unless specifically noted herein. Inclusion of…
2019 KEY MESSAGES 2019 KEY MESSAGES Value growth plans on track with additional upside 4 Delivering on plans outlined in 2018 with upside Strong business fundamentals support investments Competitive advantages enable long-term value…
2018 EARNINGS 2018 EARNINGS Delivering on plans outlined in 2018 with upside 5 1 2 EARNINGS Billion USD 1 Excludes impact of U.S. tax reform and impairments in 2017 and 2018 2 2018 March Investor Day basis (60/bbl Brent and 2017…
DELIVERING ON COMMITMENTS DELIVERING ON COMMITMENTS Delivering on plans outlined in 2018 with upside 6 1 Guyana volumes and resource gross 2 Permian volumes net See supplemental information
LONG-TERM FUNDAMENTALS UPSTREAM 7 LONG-TERM FUNDAMENTALS UPSTREAM Strong business fundamentals support investments New supply required Depletion without investment EM outlook demand Avg demand based on assessed 2oC scenarios2 OIL…
LONG-TERM FUNDAMENTALS UPSTREAM 8 LONG-TERM FUNDAMENTALS UPSTREAM Strong business fundamentals support investments ESTIMATED CUMULATIVE NEW OIL SUPPLY REQUIRED2 Billion barrels ESTIMATED CUMULATIVE NEW NATURAL GAS SUPPLY REQUIRED…
LONG-TERM FUNDAMENTALS DOWNSTREAM 9 LONG-TERM FUNDAMENTALS DOWNSTREAM Strong business fundamentals support investments Gasoline Lubes3 Chemical feedstock Distillates2 Fuel oil1 LIQUIDS DEMAND GROWTH %, Indexed to 2016 Source: 2018 EM…
LONG-TERM FUNDAMENTALS CHEMICAL 10 LONG-TERM FUNDAMENTALS CHEMICAL Strong business fundamentals support investments PE GDP PX PP Population growth and improved living standards drive projected chemical demand above GDP Expanding…
COMPETITIVE ADVANTAGES 11 COMPETITIVE ADVANTAGES Competitive advantages enable long-term value creation SCALE FUNCTIONAL EXCELLENCE INTEGRATION TECHNOLOGY PEOPLE
VALUE INVESTING 12 VALUE INVESTING Progressing advantaged investments and highgrading portfolio Guyana, Permian 26 30 Brazil, Indonesia 33 - 35 30 - 35 CAPEX Billion USD See supplemental information Best portfolio of opportunities…
DISCIPLINED INVESTING 13 DISCIPLINED INVESTING Progressing advantaged investments and highgrading portfolio REINVESTMENT RATE, 2009 2018 Capex1/cash flow from operations Source: Peer data based on publicly available information as of…
DISCIPLINED INVESTING 14 DISCIPLINED INVESTING Progressing advantaged investments and highgrading portfolio Average annual capex1 (billion USD) REINVESTMENT RATE, 2019 2020 Capex1/cash flow from operations Source: Peer data based on…
PORTFOLIO MANAGEMENT 15 PORTFOLIO MANAGEMENT Progressing advantaged investments and highgrading portfolio Strong history of highgrading portfolio Annual average of 3.5 billion in proceeds in past five years Rigorous evaluation of…
PORTFOLIO MANAGEMENT 16 PORTFOLIO MANAGEMENT Progressing advantaged investments and highgrading portfolio High-quality portfolio additions drive increased focus on Upstream Expect increased divestment activity over next 3 years…
GROWING EARNINGS POTENTIAL 17 GROWING EARNINGS POTENTIAL Earnings, cash flow, and return profile grow in a flat price environment EARNINGS POTENTIAL Billion USD 1 2018 March Investor Day basis (60/bbl Brent and 2017 margins, adjusted…
GROWING CASH FLOW POTENTIAL 18 GROWING CASH FLOW POTENTIAL Earnings, cash flow, and return profile grow in a flat price environment CASH FLOW FROM OPERATIONS AND ASSET SALES POTENTIAL Billion USD 1 2018 March Investor Day basis…
ROCE GROWTH POTENTIAL 19 ROCE GROWTH POTENTIAL Earnings, cash flow, and return profile grow in a flat price environment RETURN ON CAPITAL EMPLOYED POTENTIAL1 % 1 ROCE potential reflects company plans as of the date of this…
UPSTREAM
UPSTREAM KEY MESSAGES UPSTREAM KEY MESSAGES 21 Continuing to strengthen Upstream portfolio Best opportunity portfolio since the merger Exceeding plans laid out last year Growing value of portfolio driven by five outstanding…
UPSTREAM PORTFOLIO UPSTREAM PORTFOLIO Strengthening Upstream portfolio 22 ESTIMATED OPERATING CASH CONTRIBUTION Billion USD Source: Peer data from Wood Mackenzie data (GEM 3Q 2018 60/bbl; adjusted for inflation over periods) 1…
23 UPSTREAM PERMIAN Bakken Permian 2018 Investor Day Five outstanding developments PERMIAN AND BAKKEN PRODUCTION, 2019 OUTLOOK1 Koebd net See supplemental information 2018 Investor Day recap 600 Koebd by 2025 2019 update…
24 UPSTREAM PERMIAN Stacked depositional stratum HYDROCARBON DENSITY MAP Delaware Basin Midland Basin Five outstanding developments 10 Boeb resource1 and growing Significant 2017 acquisition Large blocks of contiguous acreage…
UPSTREAM PERMIAN Delaware Basin HYDROCARBON DENSITY MAP FOR PERMIAN TIGHT OIL Five outstanding developments 25 Overview of development plan Established a unique low-cost development plan Significantly differentiated from competition…
UPSTREAM PERMIAN UPSTREAM PERMIAN 26 Plan based on efficient multi-well pad corridors; developing multi-bench resource; enhancing resource recovery Typical row development design, up to 10 miles end-to-end Enables design of optimum…
UPSTREAM PERMIAN UPSTREAM PERMIAN 27 Five outstanding developments Central delivery point Capital-efficient, field-wide gathering Control own destiny reduce shut-in risk Simplifies in-basin evacuation and logistics leveraging Wink…
UPSTREAM PERMIAN UPSTREAM PERMIAN 28 Five outstanding developments See supplemental information Development plan schedule 2017 Major Delaware acquisition 2018 Growing Midland production Delineating Delaware resource YE 42 rigs, 11…
29 UPSTREAM PERMIAN Increasing resource recovery Enhancing subsurface characterization Novel completions research Further optimizing development plan High-contact fracture research Subsurface modeling Rapid incorporation of…
30 UPSTREAM PERMIAN Five outstanding developments 1 Earnings potential; includes logistics, operated assets only 2 2018 March Investor Day basis (60/bbl and 40/bbl Brent and 2017 margins, adjusted for inflation for future periods) See…
UPSTREAM DEEPWATER 31 Guyana Stabroek Brazil Carcara Bubble size: NPV10 (entire development) Five outstanding developments UPSTREAM DEEPWATER GREENFIELD DEEPWATER IOC PROJECTS %, Internal rate of return Source: Wood Mackenzie (FID…
UPSTREAM GUYANA UPSTREAM GUYANA 32 Five outstanding developments 1 Cumulative resource; see supplemental information Yellowtail Adding to recoverable resource with successful exploration Yellowtail-1 well marked 13th discovery on…
UPSTREAM GUYANA UPSTREAM GUYANA 33 Liza Ph 1 Future Developments Payara Liza Ph 2 Five outstanding developments PRODUCTION Kbd gross 1 Production potential on a 2018 March Investor Day basis (60/bbl Brent and 2017 margins, adjusted…
UPSTREAM GUYANA UPSTREAM GUYANA 34 LIZA DESTINY Phase 1 FPSO nearing completion Liza Phase 2 (220 Kbd) FID May 2019 Leveraging learnings and designs of Phase 1 On schedule for start-up 2022 Payara (180-220 Kbd) Early engineering…
UPSTREAM BRAZIL Carcara Completed farm-in to BM-S-81 Drilled 2018 exploration well North Carcara Drilled 1st appraisal well in 2018 analysis ongoing 2019: 2nd appraisal well ongoing Development progressing on plan First oil…
UPSTREAM BRAZIL UPSTREAM BRAZIL 36 Five outstanding developments Tit SEAL-351 SEAL-430 SEAL-428 SEAL-503 SEAL-501 SEAL-573 S-M-536 C-M-789 C- M-753 C-M-657 C-M-709 S-M-647 NET ACREAGE Million acres Source: Wood Mackenzie High-quality…
UPSTREAM LNG UPSTREAM LNG 37 Demand New supply required Proposed…
UPSTREAM MOZAMBIQUE UPSTREAM MOZAMBIQUE 38 Five outstanding developments 1 All volumes gross 2 Will reduce to 50% post government approval of QP farm-down See supplemental information LNG development on plan Area 4 potential for 40…
UPSTREAM PNG UPSTREAM PNG 39 NET RESOURCE (Tcf)1 Five outstanding developments See supplemental information Continued high performance from existing operations Outstanding earthquake recovery; 2H18 reliability 99% Facilities running…
UPSTREAM GOLDEN PASS UPSTREAM GOLDEN PASS 40 EXISTING GOLDEN PASS TERMINAL 1 Gross volume 3 trains, 16 Mta1 capacity 70% Qatar Petroleum (QP), 30% ExxonMobil FID January 2019; exports commence 2024 Advantaged U.S. export facility…
UPSTREAM EXPLORATION UPSTREAM EXPLORATION Portfolio competitiveness 41 TOTAL COMMERCIAL DISCOVERIES, 2013-2018 Moeb, net RESOURCE ADDITIONS INCLUDING ACQUISITIONS, 2013- 2017 Average Moeb, net Source: Wood Mackenzie 80% higher net…
UPSTREAM EXPLORATION UPSTREAM EXPLORATION Portfolio competitiveness 42 Deepwater LNG Other EXPLORATION DRILLING1 Gross wells EXPLORATION COSTS INCURRED Billion USD See supplemental information Next 3 years of exploration focused on…
PORTFOLIO MANAGEMENT UPSTREAM ASSETS YE2018 count 43 PORTFOLIO MANAGEMENT Progressing advantaged investments and highgrading portfolio Source: Wood Mackenzie; EM analysis on potential divestments 1 Assets defined by Wood Mackenzie do…
UPSTREAM VOLUMES OUTLOOK UPSTREAM VOLUMES OUTLOOK Portfolio competitiveness 44 4.0 4.2 3.8 VOLUMES OUTLOOK1 AT 60/bbl Moebd net 2018 volumes in-line with 2017, excluding entitlements and divestments Included 3% liquids growth driven…
45 UPSTREAM PERFORMANCE Significant increase in value UPSTREAM EARNINGS PER OEB %, Indexed to 2019 UNIT CASH OPERATING COSTS1 %, Indexed to 2019 1 Normalized for price and forex impacts; excludes divestments See supplemental…
DOWNSTREAM AND CHEMICAL
INCREASING VALUE Combined Downstream and Chemical average earnings 30% higher than nearest IOC competitor Earnings grow with investments, underpinned by unique competitive advantages Proprietary catalyst and process technology…
CYCLICAL BUSINESSES 1Exxon only before 1999 See supplemental information EARNINGS AND AVERAGE ROCE Billion USD DOWNSTREAM 14% 34% 20% 24% Downstream and Chemical businesses are cyclical Investing through cycles enables strong…
DOWNSTREAM
DOWNSTREAM KEY MESSAGES Delivering on plans outlined in 2018; upgrading to higher-value products Competitive advantages enable value capture across fuels and lubes value chains Advantaged projects, logistics, and new markets drive…
51 VALUE CHAIN PORTFOLIO Fuels Value Chain Lubes Value Chain Commercial and Trading Branded Retail Commercial Business to Business (B2B) Basestocks and Specialties Finished Lubricants Research Technology Digital Manufacturing…
DELIVERING ON COMMITMENTS DELIVERING ON COMMITMENTS Delivering on plans outlined in 2018; upgrading to higher-value products 52 See supplemental information
PRODUCT MIX IMPROVES PROFITABILITY 53 PRODUCT MIX IMPROVES PROFITABILITY Delivering on plans outlined in 2018; upgrading to higher-value products EXXONMOBIL DOWNSTREAM PRODUCT MIX1 % 61/bbl 77/bbl 107/bbl 84/bbl 114/bbl See…
MAXIMIZING EXISTING ASSETS 54 MAXIMIZING EXISTING ASSETS Leveraging scale to capture value from manufacturing optimization Industry-leading refining capacity of 4.7 Mbd Global optimization team for each major refining technology…
ENTERING GROWTH MARKETS TO DELIVER VALUE Proximity to Singapore integrated complex Innovative microsites enable accelerated growth 20 microsites at YE18 with 500 microsites at YE19 Indonesia 55 ENTERING GROWTH MARKETS TO DELIVER…
PERMIAN INTEGRATION 56 PERMIAN INTEGRATION Advantaged projects, logistics, and new markets drive earnings growth Unique position across full value chain Logistics/refining capacity grows with equity production Progressing…
BEAUMONT LIGHT CRUDE EXPANSION 57 BEAUMONT LIGHT CRUDE EXPANSION Advantaged projects, logistics, and new markets drive earnings growth BEAUMONT PROFITABILITY AND CRUDE CAPACITY Pre vs. post investment Beaumont post-investment…
ROTTERDAM HYDROCRACKER 58 ROTTERDAM HYDROCRACKER Advantaged projects, logistics, and new markets drive earnings growth Rotterdam post-investment Rotterdam pre-investment ROTTERDAM PROFITABILITY AND CRUDE CAPACITY Pre vs. post…
HIGHER-VALUE BASESTOCKS DEMAND GROWTH 59 HIGHER-VALUE BASESTOCKS DEMAND GROWTH Growing industry-leading basestock cost of supply Cumulative basestock production (Kbd) Advantaged ExxonMobil production cost supports competitiveness…
LUBRICANTS VALUE CHAIN LEADERSHIP 60 LUBRICANTS VALUE CHAIN LEADERSHIP Growing industry-leading lubricants business MARKET POSITION Group I-II basestocks market share (%) SYNTHETIC LUBRICANTS SALES GROWTH %, Indexed to 2007…
CHEMICAL KEY MESSAGES CHEMICAL KEY MESSAGES On track to grow advantaged performance products 63 Growing new sales volume in North America and Asia 3 new projects online in 2018; 6% annual global sales growth 4 U.S. Gulf Coast olefin…
CHEMICAL BUSINESS VALUE CHAIN ExxonMobil Derivatives / Products Steam Cracking Crude 64 Elastomers Adhesions Butyl Rubber Synthetics Paraxylene Intermediates Ethylene Glycol Linear -Olefin Other Aromatics Primary Petrochemicals…
PRODUCT APPLICATIONS Consumer / Personal Care Industrial / Agricultural 65 PRODUCT APPLICATIONS Packaging Solutions Automotive
DELIVERING ON COMMITMENTS DELIVERING ON COMMITMENTS Delivering on plans outlined in 2018; upgrading to higher-value products 66 See supplemental information
GULF COAST GROWTH VENTURE GULF COAST GROWTH VENTURE Growing sales volume with focus on performance products 67 25% Lower Cost 1 LEVERAGING WORLD-CLASS PROJECT EXPERTISE Project unit cost (thousand USD/ton) Worlds largest grassroots…
U.S. GULF COAST OLEFIN DERIVATIVES U.S. GULF COAST OLEFIN DERIVATIVES Growing sales volume with focus on performance products 68 See supplemental information 1At 2018 March Investor Day basis (60/bbl Brent and 2017 margins, adjusted…
NEW LIQUIDS STEAM CRACKER IN CHINA NEW LIQUIDS STEAM CRACKER IN CHINA Growing sales volume with focus on performance products 69 1.2 Mta flexible-feed steam cracker Applying proprietary crude-cracking technology Higher-value…
SCALE AND MARKET ACCESS CAPTURE GROWTH SCALE AND MARKET ACCESS CAPTURE GROWTH Leveraging global integration, scale, and strong customer focus 70 Chemical sales in more than 130 countries 20 world-class manufacturing sites provide…
PERFORMANCE PRODUCTS DEVELOPMENT 71 Catalyst Technology High throughput labs Process Technology Pilot units for scale-up Product Technology New products tested and developed globally Customer Solution Technology Application…
72 Performance products growth achieved by creating value and providing solutions to our customers Positioned to serve growth in emerging economies driven by the growing middle class Investment portfolio combined with performance…
PERFORMANCE PRODUCTS DRIVE EARNINGS GROWTH PERFORMANCE PRODUCTS DRIVE EARNINGS GROWTH Increasing Chemical earnings profile 73 Sales grow 30% by 2025 driven by North America and Asia Performance products grow 50% with pipeline of…
INVESTMENT AND FINANCIAL PLAN
GROWING VALUE GROWING VALUE Investment plans drive significant growth in shareholder value 75 Structural improvement in capacity to generate earnings, cash flow, and ROCE Investments robust across range of prices and scenarios…
EARNINGS GROWTH POTENTIAL EARNINGS GROWTH POTENTIAL Structural improvement in capacity to generate earnings, cash flow, and ROCE 76 80/bbl1 60/bbl1 40/bbl1 EARNINGS POTENTIAL1 Billion USD Advantaged investments expand earnings…
CASH FLOW GROWTH POTENTIAL CASH FLOW GROWTH POTENTIAL Structural improvement in capacity to generate earnings, cash flow, and ROCE 77 CASH FLOW FROM OPERATIONS AND ASSET SALES POTENTIAL1 Billion USD 80/bbl1 60/bbl1 40/bbl1 Cash flow…
CAPEX PROFILE CAPEX PROFILE Investments robust across range of prices and scenarios 78 See supplemental information
EXECUTION CAPACITY Proven track record of project execution Decades of large-scale project experience across multiple geographies and resource types Strong unconventional development capability Securing contractor capacity in near…
FINANCIAL CAPACITY LEVERAGE, YEAR-END 2018 Total capitalization1, billion USD FINANCIAL CAPACITY Financial strength and organizational capacity enable investment across the business cycle 80 Industry-leading financial capacity…
SHAREHOLDER DISTRIBUTIONS Value-accretive investments provide capacity for shareholder distributions Dividend growth for 36 consecutive years Average annual growth rate well in excess of peers over past decade SHAREHOLDER…
FREE CASH FLOW POTENTIAL Portfolio generates significant free cash flow potential in a 60/bbl flat price scenario Provides available capacity to: Fund incremental accretive investments Grow annual dividend beyond 2018 levels Reduce…
GROWING SHAREHOLDER VALUE GROWING SHAREHOLDER VALUE Value growth plans on track with additional upside potential 83 Leveraging competitive advantages to grow significant shareholder value Strengthening base while investing across full…
REFERENCE MATERIAL 84 REFERENCE MATERIAL
100% EV DEMAND SCENARIO 85 100% EV DEMAND SCENARIO Strong business fundamentals support investments Other Chemicals Commercial transportation Source: 2018 EM Outlook for Energy: A View to 2040 See supplemental information LIQUIDS…
UPSTREAM KEARL 86 UPSTREAM KEARL Portfolio competitiveness Kearl unit cash operating costs KEARL SITE PRODUCTION AND COST Kbd, gross USD/bbl, net Kearl site Improvements on schedule 2018 gross production 206 Kbd vs. 200 Kbd plan…
CHEMICAL PERFORMANCE PRODUCTS 87 CHEMICAL PERFORMANCE PRODUCTS High Performance Synthetic Base Stocks EscaidTM High Performance Base Fluids AchieveTM Advanced Polypropylene ExceedTM XP Polyethylene
PERFORMANCE PRODUCTS DRIVE EARNINGS GROWTH 88 PERFORMANCE PRODUCTS DRIVE EARNINGS GROWTH CHEMICAL EARNINGS GROWTH POTENTIAL1 Billion USD Mix Upgrade USGC Growth Asia Growth 12018 March Investor Day basis (60/bbl Brent and 2017…
INVESTOR RELATIONS CONTACTS 89 INVESTOR RELATIONS CONTACTS Neil Hansen Vice President Investor Relations and Secretary of Exxon Mobil Corporation Molina Albright Investor Relations Manager Rosina Chaker Investor Relations…
90 BACKUP MATERIAL
SUPPLEMENTAL INFORMATION SUPPLEMENTAL INFORMATION The following table bridges each of (1) 2018 earnings potential communicated at 2018 March Investor Day and (2) 2018 normalized earnings to 2018 earnings: *Estimated price…
SUPPLEMENTAL INFORMATION SUPPLEMENTAL INFORMATION Estimated Operating Cash Contribution. Estimated earnings before depreciation and depletion, including non-controlling interests and abandonment spend. Where applicable, pro-rata equity…
SUPPLEMENTAL INFORMATION SUPPLEMENTAL INFORMATION Other information All references to production rates and project capacity are on a gross basis, unless otherwise noted. References to resource size are on a net basis, unless otherwise…
SUPPLEMENTAL INFORMATION The following table contains segment earnings potentials communicated at the 2019 March Investor Day. These numbers assume a 60/bbl Brent 2017 adjusted for inflation for future periods and that Downstream and…
SUPPLEMENTAL INFORMATION SUPPLEMENTAL INFORMATION (1) The term project as used in this publication can refer to a variety of activities and does not necessarily have the same meaning as in any government payment transparency reports.…
SUPPLEMENTAL INFORMATION SUPPLEMENTAL INFORMATION 99
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