Exxon Mobil Corp. is planning to spend $30 billion to $35 billion annually through 2025 and make investments of up to $33 billion in 2020, depending on the progress of certain projects.
The oil and gas supermajor's investment plan is part of its strategy that makes use of its strong balance sheet, Exxon Chairman and CEO Darren Woods said during the company's annual investor day at the New York Stock Exchange.
Exxon's earnings and expected growth in cash flow will be supported by investments in "advantaged projects," combined with a favorable cost environment, according to Woods.
Exxon said the estimated gross recoverable resource from the Stabroek block in Guyana increased to over 8 billion barrels of oil equivalent, following six additional discoveries made this year and in 2019. The corporation anticipates production in Guyana to hit more than 750,000 gross barrels of oil per day by 2025.
Exxon also expects increasing production volumes in the Permian Basin to surpass 1 million boe/d by 2024. Future growth in the Permian Basin will be underpinned by infrastructure capacity expansions at Exxon's Gulf Coast refineries and petrochemical operations.
In addition, the integrated oil and gas company said it plans to boost its exploration activity in its acreage position in Brazil during the year and in 2021. Exxon is also cooperating with the governments in Papua New Guinea and Mozambique for new projects aimed at supporting long-term demand growth.
In the downstream segment, Exxon's investments in its refineries in Beaumont, Texas; Rotterdam, Netherlands; and Antwerp, Belgium, generated earnings of $300 million in 2019. Investments in the chemical business, including expansion projects in the U.S. Gulf Coast and Asia, are also anticipated to deliver a 30% increase in sales growth over 2017 levels.
Exxon is also continuing with its $15 billion divestment program.