ExxonMobil has set a new spending plan that it said will double its profits and financial liquidity by 2027 compared to 2019 levels, coinciding with its reduction in harmful emissions, as the plan comes at a time when the oil giant is re-evaluating its long-term strategies after the pandemic crisis and the changes in its board of directors.
The company stated that it plans to spend between $20-25 billion annually until 2027, which is more spending than the company had planned in 2021, as it set a budget of $16-19 billion only for spending this year, but its new budget falls far short of the $30-35 billion range the company was preparing for before the outbreak.
The company stated that it will focus in the future on high-quality assets, as ExxonMobil stated that more than 90% of its new investments will return more than 10% of its value even if the price of a barrel of oil drops to $35 or less, noting that the price of US oil yesterday amounted to about $69.16 per barrel.
ExxonMobil also confirmed its plan to spend $15 billion on developing technologies that reduce emissions, and that money will be used to reduce emissions from its existing business as well as invest in areas such as carbon capture.
Exxon Mobil shares rose by 1.7% during pre-market trading, after the market recovered in general following her statements.