CEO Darren Woods:
*Example of high value investments is Guyana. Lisa Unity FPSO will ramp up to 220k per day by Q3; Confirms 3rd FPSO Payara will begin production by year end 2023, ahead of schedule; Yellowtail on schedule 2025
*Events in Ukraine have added uncertainty to outlook amid tight supply concerns
*Sakhalin was less than 2% of production last year; Exxon in full compliance with sanctions
*Acknowledges impact of high prices on families; refers to industry underinvestment
Responses to Questions
*CFO Kathryn Mikells says cash balance building as part of caution in “an incredibly uncertain environment”
*Woods: Gas will be a very important foundational part of supply going forward
*Mikells: Has achieved $5.4B in cost savings since 2019; “we are not immune to inflation”; Woods feels good on CapEx costs as they extended contracts during covid-19…
* Ukraine remains a “wild card” in respect to European gas supplies
*Mikells: Pressure testing of opportunities is important in order to withstand different market environments.
*Woods:”Tremendous success” of discoveries in Guyana and we are getting a good characterisation of resources. Bigger FPSOs make sense unit cost wise. We are leaning to larger developments and also taking advantage of synergies of existing projects.
*Guyana resource is a mix of oil/gas depending on location…company bias is towards liquid. Bringing gas onshore for government to provide cleaner lower cost electricity generation.
*Mikells: Payara is example of accelerating projects ahead of schedule, managing Guyana projects to the lowest cost.