2022 INVESTOR DAY 03.02.22 VIRTUAL WEBCAST HOUSTON CAMPUS, TEXAS 1
AGENDA START 8:00 AM CENTRAL / 9:00 AM EASTERN Welcome Jennifer Driscoll Vice President, Investor Relations CEO Perspectives Darren Woods Chairman of the Board and Chief Executive Officer Low Carbon Solutions Neil Chapman Senior Vice…
EXXONMOBIL AT A GLANCE UPSTREAM DOWNSTREAM AND CHEMICAL CARBON CAPTURE PRODUCTION (MOEBD)1 3.7 PRODUCTION (MTA)2 234 CAPACITY (MTA)3 9 IOCs IOCs IOCs Source: 2021 data from Chevron, Shell, BP, and TotalEnergies. Source: 2021…
STRENGTHENING OUR INDUSTRY LEADERSHIP ANNANDALE, NEW JERSEY 5
CREATE SUSTAINABLE SOLUTIONS THAT IMPROVE QUALITY OF LIFE AND MEET SOCIETYS EVOLVING NEEDS STRATEGIC PRIORITIES Leading performance Industry leader in operating and financial performance Essential partner Value through win-win…
EVOLVING OUR MODEL TO STRENGTHEN COMPETITIVENESS Streamlining organizations increases effectiveness and drives efficiencies 2016: FUNCTIONAL COMPANIES 2022: DELIVERING SOLUTIONS Enabling 9 billion of annual structural cost reductions…
EVOLVING OUR MODEL TO STRENGTHEN COMPETITIVENESS Realizing full set of corporate competitive advantages 2022: DELIVERING SOLUTIONS Fully capturing benefits of scale and integration Leveraging synergies across businesses…
STRENGTHENING OUR INDUSTRY LEADERSHIP Strategy delivered improved 2021 financial results 2021 CASH FLOW FROM OPERATIONS Delivered 23 billion in earnings and Percent change versus prior years 2018-2020 48 billion of cash flow from…
2021 ACCOMPLISHMENTS Sustained best-ever workforce safety and reliability performance Achieved 2025 GHG emissionreduction plans in 2021 and established more aggressive plans for 20301 Established LCS business to commercialize…
INCREASING COMPETITIVENESS AND PRODUCTIVITY Upgrading our portfolio and driving operating and capital efficiencies EARNINGS GROWTH POTENTIAL1,2 Delivering structural improvements Billion USD, 60/bbl real Brent and average margins…
LEAD INDUSTRY IN THE ENERGY TRANSITION Leveraging centralized expertise and capabilities to grow the portfolio UPSTREAM PRODUCT SOLUTIONS LOW CARBON SOLUTIONS Strengthening portfolio Growing high-value products Growing biofuels…
ADVANTAGES CREATE VALUE THROUGH THE TRANSITION Leveraging our unique competitive advantages to grow shareholder value and lower emissions EXAMPLES CCS HYDROGEN BIOFUELS Global presence to pursue regional / country opportunities as…
GROWTH POTENTIAL ACROSS NET -ZERO PATHWAYS Mix of energy sources and solutions required to achieve net zero Broad range of demand evolution across net-zero scenarios INDUSTRY DEMAND1 IN AVERAGE OF IPCC 2050 NET-ZERO SCENARIOS Mboed…
GROWING VALUE IN A NET -ZERO FUTURE Robust strategy improves business across range of scenarios EXXONMOBIL CAPITAL EXPENDITURES MODELED EXXONMOBIL OPERATING CASH FLOW Scenario analysis demonstrates UNDER IEA NZE 2050 SCENARIO1 POTENTIAL…
KEY TAKEAWAYS Delivering industry-leading operating and financial performance Strengthening competitive advantages Upgrading portfolio to improve competitiveness Sustainably growing long-term shareholder value across a range of…
LOW CARBON SOLUTIONS LABARGE, WYOMING 17
LEVERAGING OUR STRENGTHS Applying our core capabilities to high-growth segments in the energy transition 7 LARGE Oil and Gas 6 5 Chemicals CCS MARKET SIZE1 4 3 LOW CARBON SOLUTIONS 2 Solar Onshore Hydrogen…
COMPETITIVE ADVANTAGES DRIVE LCS FOCUS AREAS Leveraging existing capabilities will be key to developing CCS, hydrogen, and biofuels Global leader in carbon capture, representing one-fifth of global capacity (9 Mta)1 Scale Strong…
LOW CARBON SOLUTIONS STRATEGIC PRIORITIES Leveraging unique combination of capabilities to accelerate GHG emission reductions for customers and in our business STRATEGIC PRIORITIES Rapidly advancing developments where current…
DEVELOPING DEEP GLOBAL OPPORTUNITY PIPELINE Rapidly advancing projects where supportive policy exists today; biofuels projects in Canada, EU, and California in development Screen Scope Frame Select Project development 1 2 3 4 5…
GROWING INVESTMENTS TO LOWER EMISSIONS Leveraging unique combination of capabilities to accelerate GHG emission reductions for customers and in our business CAPEX CCS/H2 SOLUTIONS Billion USD 4 Early stages of large-scale projects to…
UPSTREAM OFFSHORE, GUYANA 23
UPSTREAM STRATEGIC PRIORITIES Delivering earnings growth and emission reductions STRATEGIC PRIORITIES 2021 PROGRESS Earnings of 16 billion, highest since 2014 Strengthen portfolio competitiveness Reduced structural costs by 3…
INDUSTRY LEADING INVESTMENTS Prioritizing low cost-of-supply, low emissions-intensity opportunities UPSTREAM INVESTMENTS 1 Industry-leading investments focus on high-return, low cost-of- Brent price required to generate the…
BUILDING A WINNING BUSINESS IN THE PERMIAN Maximizing value of advantaged acreage position through technology and integration Development plan leverages unique set of ExxonMobil acreage competitive advantages: Largest contiguous…
DELIVERING STEP -CHANGE IN PERMIAN PERFORMANCE Significant capital and operating cost reductions driven by efficiency and performance gains DAILY DRILLING LATERAL FEET1 COMPLETIONS EFFICIENCY2 Multi-well pad corridor design provides:…
GROWING PERMIAN FREE CASH Retaining development pace optionality and flexibility Pace of investment continues to be set by 800 KOEBD CAPEX PRODUCTION Indexed to 2021 Koebd, net objective to: Maintain positive free cash 300% 1,000 BY…
RAPIDLY PROGRESSING GUYANA DEVELOPMENTS Leveraging subsurface and project execution capabilities to develop low cost-of-supply resource DISCOVERED RESOURCE CAPACITY Increased resource to 10 Boeb with Years Boeb Kbd successful…
RAPIDLY PROGRESSING GUYANA DEVELOPMENTS Industrys largest oil-play discovered in the last decade RESOURCE PRODUCTION 10 BOEB 850 KBD 6 DISCOVERIES IN 2021, 2 YTD IN 2022 BY 2027; LIZA PHASE 2 START-UP 2022, PAYARA START-UP 2024…
ADVANCING LOW COST -OF-SUPPLY LNG DEVELOPMENTS Diverse pipeline of developments leveraging scale and capital efficiencies EXXONMOBIL GLOBAL LNG SUPPLY Mozambique: Coral South FLNG, 3.4 Mta MTA 27 MTA Arrived in Mozambique, start-up…
DELIVERING SIGNIFICANT PORTFOLIO IMPROVEMENTS Driven by reducing costs, high-return investments, and divestment program UNIT EARNINGS POTENTIAL1 UNIT CASH OPEX EXCLUDING ENERGY AND PRODUCTION TAXES2 130% improvement 100% 200% 30%…
DOUBLING UPSTREAM EARNINGS THROUGH 2027 Driven by reduced costs, high-return investments, and divestment program PRODUCTION EARNINGS POTENTIAL1 Upstream earnings more than double Koebd, net Billion USD, 60/bbl real Brent through 2027…
PRODUCT SOLUTIONS BAYTOWN, TEXAS 34
PRODUCT SOLUTIONS AMPLIFIES COMPETITIVE ADVANTAGES Enables value chain synergies and resource prioritization for better solutions in evolving markets STRONG EXISTING BUSINESSES1 WITH COMPETITVE ADVANTAGES AMPLIFIED IN THE NEW…
PRODUCT SOLUTIONS STRATEGIC PRIORITIES Leveraging competitive advantages delivered industry-leading 9 billion of earnings in 20211 STRATEGIC PRIORITIES 2021 PROGRESS Delivered record Chemical and Lubricants earnings Grow high-value…
GROWING HIGH -VALUE PRODUCTS Expecting to double sales volume by 2027 4 BILLION HIGH-VALUE PRODUCT GROWTH Mta BIOFUELS Emissions avoided4 25 Mta INCREASE IN EARNINGS BY 2027 1 Leveraging existing manufacturing footprint 20 for…
GROWING CHEMICAL PERFORMANCE PRODUCTS Sustainable, high-value performance products deliver 70% increase in earnings1 SUPERIOR PRODUCT PERFORMANCE2 DRIVING DEMAND AT 2X COMMODITY3 DELIVERING SIGNIFICANT EARNINGS POTENTIAL4 Performance…
IMPROVING PORTFOLIO VALUE Increasing refining asset competitiveness to improve cash flow and earnings 2 BILLION INDUSTRY REFINERY NET CASH MARGIN1 /bbl, 2010-2019 average pricing INCREASE IN ANNUAL NET CASH MARGIN BY 2027 2…
IMPROVING PORTFOLIO VALUE Evolving product mix from conventional fuels to higher-value, lower-emission products REPRESENTATIVE PRODUCT MIX BASED ON USGC AND SINGAPORE REFINING ASSET PLANS1 Mid-term plans improve competitiveness with…
LEADING IN SUSTAINABILITY Reducing emissions and growing certified circular polymers1 15% Emission-reduction roadmaps for CERTIFIED CIRCULAR POLYMER1 all large, integrated assets by PRODUCTION CAPACITY Mta year-end 2022 LOWER…
LEVERAGING STRENGTHS TO EXTEND EARNINGS LEADERSHIP Unique competitive advantages deliver industry-leading cash flow and earnings with 30% returns1 EARNINGS POTENTIAL FROM STRATEGIC PROJECTS2 IOC FREE CASH FLOW, WOOD MACKENZIE NOVEMBER…
PRODUCT SOLUTIONS EARNINGS TO TRIPLE BY 2027 1 Earnings driven by advantaged investments, cost reductions, and enhanced base performance VOLUME2 EARNINGS POTENTIAL3 Strategic projects account for 50% of Mta Billion USD earnings growth…
FINANCIAL PLAN BAYTOWN, TEXAS 44
SUSTAINABLY GROWING SHAREHOLDER VALUE Positioned to capitalize on opportunities across broad range of market conditions and energy transition scenarios STRATEGIC PRIORITIES Highest earnings among international oil companies in 20211…
SUSTAINABLY GROWING SHAREHOLDER VALUE Key actions enhancing competitiveness and returns RETURN ON AVERAGE CAPITAL EMPLOYED TOTAL SHAREHOLDER RETURN 10-year average versus 2021, percent CAGR 10-year average versus 2021, percent 2021…
DELIVERING STRUCTURAL COST EFFICIENCIES Achieved 5 billion of annual structural cost reductions through 2021; additional 4 billion expected by 2023 CASH OPEX EXCLUDING ENERGY AND PRODUCTION TAXES Leveraged prior reorganizations Billion…
EXECUTING COMPETITIVELY ADVANTAGED PROJECTS Flexibility within portfolio to adjust to changing market conditions and pace of the energy transition CAPITAL AND EXPLORATION EXPENDITURES1 2022 Capex expected to be 21-24 billion Billion…
DELIVERING LEADING EARNINGS GROWTH Earnings more than double by 2027 versus 2019 EARNINGS GROWTH POTENTIAL1,2 Restructured businesses accelerate Billion USD, 60/bbl real Brent and average margins structural cost reductions and Upstream…
DELIVERING LEADING CASH FLOW GROWTH Cash flow from operations grows 2x by 2027 versus 2019 CASH FLOW FROM OPERATIONS GROWTH POTENTIAL1 Growth driven by Billion USD, 60/bbl real Brent and average margins earnings acceleration 60…
LOWERING BREAKEVENS 2021 breakeven 41/bbl; 2022-2027 Plan breakeven at 35/bbl AVG BREAKEVEN 2022-2027 TO COVER CAPITAL BREAKEVEN 2021-2027 Covered 2021 Capex and dividend at PROGRAM AND DIVIDENDS1,2 /bbl 41/bbl on average price/margin…
POISED FOR SIGNIFICANT GROWTH IN SHAREHOLD ER DISTRIBUTI ON S Cumulative cash generation potential of 100 billion in excess of Capex and dividends CUMULATIVE ESTIMATED SOURCES & USES OF CASH (20222027)1,2 Structural cost reductions,…
SUSTAINABLY GROWING SHAREHOLDER VALUE Positioned to capitalize on opportunities across broad range of market conditions and energy transition scenarios STRATEGIC PRIORITIES Highest earnings among international oil companies in 20211…
LOW CARBON SOLUTIONS SPOTLIGHT AUSTIN, TEXAS 54
COMPETITIVE ADVANTAGES DRIVE LCS FOCUS AREAS Leveraging existing capabilities will be key to developing CCS, hydrogen, and biofuels Global leader in carbon capture, representing one-fifth of global capacity (9 Mta)1 Scale Strong…
LOW CARBON SOLUTIONS STRATEGIC PRIORITIES Leveraging unique combination of capabilities to accelerate GHG emission reductions for customers and in our business STRATEGIC PRIORITIES Rapidly advancing developments where current…
DEVELOPING DEEP GLOBAL OPPORTUNITY PIPELINE Rapidly advancing projects where supportive policy exists today; biofuels projects in Canada, EU, and California in development Screen Scope Frame Select Project development 1 2 3 4 5 US:…
BIOFUELS ALBERTA, CANADA 58
WELL POSITIONED TO LEAD IN BIOFUELS Replacing crude oil with biofeeds to produce lower-emission transportation fuels Vegetable oils camelina, canola Growing Agricultural waste wheat straw, corn stover Woody biomass forestry…
STRATHCONA RENEWABLE DIESEL Leveraging existing refinery assets, fuels marketing access, and project execution capabilities SCOPE Blue Hydrogen Bio Feedstock 20 Kbd renewable diesel to be produced at Strathcona refinery FID 2022;…
CARBON CAPTURE AND HYDROGEN SOLUTIONS HOUSTON, TEXAS 61
POSITIONED TO SUCCEED IN CARBON CAPTURE AND STORAGE Leveraging position as the global CCS leader to advance projects with potential to materially reduce industrial emissions Significant operating experience at scale CAPTURE TRANSPORT…
CCS ECONOMICS DEPENDENT ON CONCENTRATION OF CO 2 Costs highly dependent on concentration and proximity to underground storage 400 CARBON CAPTURE AND STORAGE COSTS BY CONCENTRATION1 CCS costs increase significantly at lower CO2…
U.S. GULF COAST CCS Potential for accretive-return projects due to high-concentration emissions streams and proximity of storage SCOPE Multiple CCS projects under consideration Houston along U.S. Gulf Coast Baytown Initial focus on…
GROWING MARKET FOR HYDROGEN FUEL SWITCHING Lower cost of abatement for single high-concentration CO2 emissions stream versus multiple low-concentration streams Conventional Low carbon alternative (Industrial) (H2 fuel switching)…
BAYTOWN BLUE HYDROGEN Provides emission-reduction opportunities and forms initial contribution to Houston CCS Hub SCOPE Natural gas New blue hydrogen plant Fuel switching customers World-scale CCS project ExxonMobil Baytown…
EXXONMOBIL EMISSIONS REDUCTION MIDLAND, TEXAS 67
AGGRESSIVE EMISSION-REDUCTION PLANS Consistent with the goals of the Paris Agreement 2030 plans are expected to achieve a 20-30% reduction in corporate-wide GHG intensity and an absolute reduction of approximately 20%1 Aim to…
WYOMING LABARGE CCS EXPANSION Advancing commitment to CO2 emission reduction SCOPE Reduce GHG emissions at one of worlds largest helium plants Expands CCS facility from 7 to 8 Mta capacity FID February 2022; start-up in 2025…
PERMIAN NET ZERO BY 2030 Detailed emission reduction roadmap developed from asset-level abatement cost analysis SCOPE ROADMAP SUPPORTING PERMIAN 2030 NET-ZERO PLAN2 CO2 equivalent Reduce Permian Scope 1 and 2 emissions to net zero1…
GROWING INVESTMENTS TO LOWER EMISSIONS Leveraging unique combination of capabilities to accelerate GHG emission reductions for customers and in our business CAPEX Billion USD CCS/H2 SOLUTIONS 4 Early stages of large-scale projects…
UNIQUE TECHNOLOGIES DEPLOYED IN THE PERMIAN Enabling leading capital efficiency and lower-emission operations Longer, faster laterals Fewer wells and reduced capital costs Industry Longer laterals than Industry Avg. Reduces surface…
HIGH-RETURN INVESTMENTS IN BRAZIL: BACALHAU Expanding portfolio of low cost-of-supply deepwater developments 220 KBD 1 BOEB 65% LOWER CAPACITY WITH START-UP IN FOR PHASE 1 GHG INTENSITY THAN 2024 UPSTREAM AVERAGE IN 20271 1…
PERFORMANCE POLYETHYLENE (pPE) Delivers superior performance benefits versus commodity polyethylene in wide range of applications PRODUCT SOLUTIONS IN FLEXIBLE PACKAGING PRODUCT SOLUTIONS IN COLLATION SHRINK ExxonMobil ExxonMobil…
REFINING INVESTMENT PORTFOLIO SUPPLEMENTAL Equity Potential advantage vs old model Site Project Region Old Model1 Project Changes New Model2 Capacity3 at 2010-19 average margins4 Rotterdam Advanced Hydrocracking NW Europe…
STRATEGIC PROJECTS DELIVER 30% RETURNS 1 Investment portfolio drives ratable 4 billion annual earnings growth potential by 20272 STRATEGIC PROJECTS START-UP Corpus Christi complex Complete Baton Rouge polypropylene 2022 USGC…
REDUCING EMISSIONS IN MANUFACTURING Preliminary emission reduction roadmap developed from asset-level abatement curve Reduce Scope 1 and 2 emissions from PRELIMINARY GHG ABATEMENT OPTIONS FOR HEAVY FEED CHEMICAL PLANT1,2 operated…
SUPPLEMENTAL INFORMATION EARNINGS EX. IDENTIFIED ITEMS U/S D/S CHEM C&F TOTAL 2021 Earnings / (Loss) (U.S. GAAP) 15.8 2.1 7.8 (2.6) 23.0 Less: Gain / (Loss) on sale of assets 0.5 0.0 0.6 (0.0) 1.1 Impairments (0.8) - - - (0.8)…
SUPPLEMENTAL INFORMATION OPERATING COSTS AND CASH OPERATING EXPENSES COMPONENTS OF OPERATING COSTS 2021 2020 2019 From ExxonMobils Consolidated Statement of Income: Production and manufacturing expenses 36.0 30.4 36.8 Selling,…
SUPPLEMENTAL INFORMATION 2019 EARNINGS AND CASH FLOW FROM OPERATIONS 2019 EARNINGS U/S D/S CHEM C&F TOTAL Earnings (U.S. GAAP) 14.4 2.3 0.6 (3.0) 14.3 Asset Management (3.7) - - 0.0 (3.7) Tax Items (0.8) 0.0 (0.0) (0.3) (1.1)…
SUPPLEMENTAL INFORMATION RETURN ON AVERAGE CAPITAL EMPLOYED 2021 Net income attributable to ExxonMobil (U.S. GAAP) 23.0 Financing costs (after-tax) Gross third-party debt (1.2) ExxonMobil share of equity companies (0.2) All other…
SUPPLEMENTAL INFORMATION FREE CASH FLOW 2021 Net cash provided by operating activities (U.S. GAAP) 48.1 Additions to property, plant and equipment (12.1) Proceeds associated with sales of subsidiaries, property, plant and equipment,…
SUPPLEMENTAL INFORMATION DEFINITIONS AND NON-GAAP FINANCIAL MEASURE RECONCILIATIONS, CONTINUED IPCC Lower 2C scenarios. The Intergovernmental Panel on Climate Change (IPCC) published a Special Report on Global Warming of 1.5C and…
SUPPLEMENTAL INFORMATION DEFINITIONS AND NON-GAAP FINANCIAL MEASURE RECONCILIATIONS, CONTINUED Structural cost savings (also structural cost reductions, structural cost efficiencies). Structural cost savings describe decreases in the…
SUPPLEMENTAL INFORMATION Slide 4 ExxonMobil at a glance Slide 10 2021 accomplishments 1. Gas volumes converted to oil-equivalent barrels at 6 Kcf = 1 Oeb. 1. 2025 emissions reductions plans announced in December 2020 included a 15 to 2.…
SUPPLEMENTAL INFORMATION Slide 14 Growth potential across net-zero pathways Slide 15 Growing value in a net-zero future 1. Integrated Assessment Modeling Consortium (IAMC) 1.5C Scenario Explorer 1. Modeling assumptions include: (1)…
SUPPLEMENTAL INFORMATION Slide 24 Upstream strategic priorities Slide 25 Industry-leading investments 1. Cash proceeds. 1. Includes projects that bring on new volumes. Breakeven based on cost-of- 2. Net production. supply to generate a…
SUPPLEMENTAL INFORMATION Slide 30 Rapidly progressing Guyana developments Slide 33 Doubling Upstream earnings through 2027 1. Money-forward basis. 1. 2019 earnings excluding asset management and tax items and adjusted to 2. Comparison of…
SUPPLEMENTAL INFORMATION Slide 37 Growing high-value products Slide 38 Growing Chemical performance products 1. 2027 earnings potential versus 2019 of performance chemicals, biofuels, and 1. Represents 2027 potential increase in earnings…
SUPPLEMENTAL INFORMATION Slide 40 Improving portfolio value Slide 42 Leveraging strengths to extend earnings leadership 1. Today represents current actual product mix; Mid Term 2030 represents 1. Return based on 2022 money-forward,…
SUPPLEMENTAL INFORMATION Slide 48 Executing competitively advantaged projects Slide 50 Delivering leading cash flow growth 1. Capex displayed at midpoint of 21-24 billion range for 2022 and midpoint of 1. 2021 60 Brent, adjusted for…
SUPPLEMENTAL INFORMATION Slide 52 Poised for significant growth in shareholder distributions Slide 62 Positioned to succeed in carbon capture and storage 1. Real Brent price means 2021 Brent prices, adjusted for inflation; 10-year 1.…
SUPPLEMENTAL INFORMATION Slide 65 Growing market for hydrogen fuel switching Slide 70 Permian net zero by 2030 1. 1.5 trillion potential market size and projected growth: ExxonMobil analysis 1. Plans to achieve net zero greenhouse gas…
SUPPLEMENTAL INFORMATION Slide 74 High-return investments in Brazil: Bacalhau Slide 77 Strategic projects deliver 30% returns 1. Comparison of ExxonMobil estimates of greenhouse gas intensity (tonnes of 1. Return based on 2022…
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