ExxonMobil sees industry-leading earnings in 2023

ExxonMobil has posted a net profit of USD 36 billion in 2023, down from USD 55.7 billion in 2022, the American energy giant announced on Tuesday.

The company generated USD 55.4 billion in cash flow from operating activities, with USD 32.4 billion distributed to shareholders.

In 2023, ExxonMobil increased production at its assets in Guyana and the USA’s Permian basin by 18% compared to the year prior and achieved a record year in refinery throughput.

The company also divested USD 4.1 billion worth of non-core asset divestments.

ExxonMobil also recently signed a USD 59.5-billion merger agreement with Pioneer Natural Resources, with the agreement expected to close in Q2 2024.

Pioneer Natural Resources is the third-largest producer of oil on the giant Permian basin in the USA behind Chevron and ConocoPhillips and the largest crude producer in Texas.

ExxonMobil also acquired CCS and enhanced oil recovery entity Denbury for USD 4.9 billion in July 2023.

Under the deal, ExxonMobil obtained the largest owned and operated carbon dioxide pipeline network in the USA, stretching around 2,090 kilometres, and ten onshore sequestering sites.

Another milestone was hit with the announcement that ExxonMobil will launch production of lithium for electric vehicles by 2027.

The company is also currently raising production at the Stabroek block in Guyana through new projects.

Two producing FLNG vessels are currently stationed at the concession, the Liza Destiny and the Liza Unity. Net production from the two assets was 112,000 bopd in Q3 2023.

ExxonMobil aims to have six producing FPSOs in Guyana by the end of 2027, which will bring Guyana’s oil and gas production to more than 1.2 million bopd.

The American energy giant operates the Stabroek block with a 45% stake, while Hess Corporation holds a 30% stake and China National Offshore Oil Corporation holds the remaining 25% stake.

“Our consistent strategy and execution excellence across the business delivered industry-leading earnings and enabled us to return more cash to shareholders than our peers in 2023,” said Darren Woods, chairman and CEO of ExxonMobil.