ExxonMobil Corp. said it expects to start production at 10 major projects this year, adding 300,000 net boe/d of net capacity.
The increased activity will come at a lower cost than last year, as the company’s capital spending will decline to $39.8 billion from a peak of $42.5 billion in 2013. Excluding potential acquisitions, capital expenditures are expected to average less than $37 billion/year during 2015-17.
ExxonMobil in 2013 replaced more than 100% of production while adding proved oil and gas reserves totaling 1.6 billion boe, including a 153% replacement ratio for crude oil and other liquids. At yearend, proved reserves totaled 25.2 billion boe, comprised of 53% liquids and 47% natural gas.
Major projects in 2014 involve the largest offshore oil and gas platform in Russia, heavy oil expansion in Canada, activity in deepwater Gulf of Mexico, and LNG in Papua New Guinea.
Activity through 2017
Over the next few years, ExxonMobil anticipates additional project startups in several countries, including Australia, Indonesia, Canada, Nigeria, and the US, adding a total of 1 million net boe/d by 2017. Overall the company said it’s pursuing more than 120 projects to develop 24 billion boe.
Liquids production is expected to rise 2% this year and 4%/year during 2015-17, representing the majority of the company’s total production increase. Liquids and liquids linked natural gas are projected to account for 69% of the company’s total production by 2017.
ExxonMobil also said it’s pursuing investment opportunities to expand its chemical business and serve major growth markets.