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Exxon Mobil Corporation (XOM)

  • Jul. 25, 2014, 2:58 PM
    • Tanzania has a strong chance of becoming a major producer and exporter of natural gas over the next decade, according to the IMF, noting significant offshore discoveries made in the last 2-3 years and further exploration now underway.
    • Although gas resources haven’t yet been declared commercially viable, estimates of discoveries indicate recoverable offshore gas resources of at least 24T-26T cf, potentially sufficient for a four-train liquid natural gas plant, the IMF says.
    • Exxon Mobil (NYSE:XOM), Statoil (NYSE:STO) and BG Group (OTCPK:BRGXF, OTCQX:BRGYY) are planning to build the country's first LNG export plant.
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  • Jul. 25, 2014, 8:42 AM
    • Exxon Mobil (NYSE:XOM) is weighing a possible multibillion-dollar expansion of its 344K bbl/day Beaumont, Tex., refinery that could make it the largest in the U.S. by 2020, Reuters reports.
    • XOM is said to be considering an expansion to 700K-800K bbl/day in total refinery capacity at Beaumont, which would surpass Motiva's 600K-plus bbl/day Port Arthur refinery.
    • XOM reportedly is focusing on the possible addition of a third crude distillation unit at the refinery, and its size would determine how much capacity would increase; the plans also would include replacing four coking unit drums and adding two new coker drums.
  • Jul. 23, 2014, 3:15 PM
    • Colombia announces disappointing results from its first oil auction in two years, drawing investment commitments totaling $1.4B which were well short of the $2.6B the government said it was expecting.
    • Submitted offers did include a few big names, as Exxon Mobil (XOM +0.6%) and Statoil (STO -0.1%) landed the rights to explore a new Caribbean Sea deepwater block in partnership with Repsol (OTCQX:REPYY, OTCPK:REPYF).
    • Colombia pumps ~1M bbl/day of crude oil, making oil the country's top export and main source of foreign revenue, but reserves are dwindling, and the government needs the money and know-how foreign companies can offer to explore offshore and to dig through shale.
  • Jul. 22, 2014, 6:25 PM
    • Exxon Mobil (NYSE:XOM) is determined to move forward with plans to explore the Russian Arctic for oil and gas: Just two days after the downing of a passenger airliner over Ukraine led to mounting pressure for new sanctions against Russia, a drilling rig to be operated by XOM and partner Rosneft (OTC:RNFTF) set sail from Norway for Russia.
    • For XOM, the deal - which was reached in 2011 - offers access to the Arctic in the Russian-controlled areas of the ocean, as drilling in the U.S. and Canadian far north remains bogged down in regulation and lawsuits; the Russian oil industry depends on Western technical aid for offshore drilling, delivered through joint venture partnerships such as the XOM agreement.
    • It is unclear how or if XOM could recoup its initial $3.2B investment in the exploration phase of the venture if sanctions on Rosneft are broadened.
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  • Jul. 21, 2014, 6:49 PM
    • Lebanon reportedly will delay the first auction of oil and natural gas licenses in its coastal waters until 2015 because of political gridlock over decrees needed to start the bidding process.
    • Lebanon hasn't had a president since May because lawmakers have failed to agree on a candidate that would satisfy the country's two main political blocs, and the political mess is clearly impacting the energy bidding process.
    • Exxon Mobil (NYSE:XOM), Chevron (NYSE:CVX), Total (NYSE:TOT), Statoil (NYSE:STO), Eni (NYSE:E) and Royal Dutch Shell (RDS.A, RDS.B) are among 12 firms that have pre-qualified as potential operators.
    • Lebanon claims it may have as much as 96T cu. ft. of natural gas and 850M barrels of oil off its coast.
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  • Jul. 21, 2014, 2:28 PM
    • Exxon Mobil (XOM +0.1%) says it has filed an application with U.S. regulators to export liquefied natural gas from the Alaska LNG project.
    • The export application requests authorization to export up to 20M metric tons/year of LNG for 30 years to countries that have existing free trade agreements with the U.S., as well as to non-free trade agreement countries.
    • The Alaska LNG project is now in the pre-front-end engineering and design phase, which is expected to be completed in 2016.
  • Jul. 21, 2014, 10:18 AM
    • ExxonMobil (XOM -0.2%) and OMV (OTC:OMVJF) say they have begun drilling at a well that will help assess the size and commercial viability of their jointly held Domino 1 Black Sea well, the most significant Black Sea gas discovery so far.
    • The two companies say they had started drilling at the Domino 2 well in the deepwater sector of the Neptun block in Romanian waters, where each holds a 50% stake.
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  • Jul. 21, 2014, 6:49 AM
    • Exxon Mobil (NYSE:XOM) and Petrom, Romania's top oil and gas group, have started drilling a second deepwater well in the Black Sea to be called Domino-2. The new well will be drilled in a water depth of about 800 meters.
    • The two companies jointly own Domino-1  - the first first deep water exploration well in Romania. Domino-1 is said to contain 1.5-3T cubic feet of gas reserves.
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  • Jul. 16, 2014, 4:45 PM
    • The Obama administration says it is widening sanctions against Russia, restricting access to American debt market for some Russian banks, energy companies and defense firms.
    • Among the firms targeted are top oil producer Rosneft (OTC:RNFTF), the financial arm of natural gas producer Gazprom (OTCPK:OGZPY), and gas producer Novatek (OTC:NOVKY).
    • It is unclear how the moves may affect U.S. companies with multibillion-dollar businesses in Russia such as Exxon Mobil (NYSE:XOM), which expects to begin drilling an Arctic well with Rosneft this month that will cost as much as $700M and is planning a $300M shale well project in Siberia.
  • Jul. 16, 2014, 3:42 PM
    • Western energy companies are being told they could face China's wrath if they explore in areas now claimed by Vietnam under international maritime law, putting a freeze on some projects.
    • Exxon (NYSE:XOM), whose business exposure in China is more limited than some competitors, has pledged to move ahead on exploration off Vietnam, as has Murphy Oil (NYSE:MUR), but Shell (RDS.A, RDS.B), Chevron (NYSE:CVX), Talisman Energy (NYSE:TLM) and Harvest Natural Resources (NYSE:HNR) are among firms that have held off drilling in disputed areas despite promising prospects off the Vietnamese coast.
    • China earlier said it had finished drilling in the area for now and was withdrawing a drilling rig from the waters, but left the door open to future exploration there.
  • Jul. 14, 2014, 2:21 PM
    • Whiting Petroleum's (WLL +7.4%) $6B buyout of Kodiak Oil & Gas (KOG +5.1%) is renewing investor attention on independent energy firms with operations in the Bakken Shale, especially those significantly owned by hedge funds; Paulson & Co. is the single biggest owner of KOG stock, with just under 10% of shares outstanding as of the last filing date.
    • While many of the largest Bakken producers are huge companies or parts of huge companies - Hess (NYSE:HES), EOG, Statoil (NYSE:STO), Marathon Oil (NYSE:MRO), XTO Energy (NYSE:XOM) - a few small and mid-cap independent players show hedge fund interest, CNBC's Brian Sullivan writes.
    • The single biggest holder of Oasis Petroleum (OAS +0.5%) also is John Paulson's hedge fund, which owns 9.9M shares (~9.8% of shares outstanding), Jana Partners owns 16M-plus shares in QEP Resources (QEP +1.4%), and WPX Energy (WPX +1.1%) has substantial hedge fund ownership.
  • Jul. 14, 2014, 11:58 AM
    • Oil Search (OTCMKTS:OISHF), Exxon Mobil's (XOM +1.1%) biggest partner in its natural gas project in Papua New Guinea, says it believes enough new gas will be found in the country to justify a significant expansion of its processing facilities there.
    • Sufficient natural gas probably exists in PNG's highlands, including at a field called Hides, to warrant adding at least one train to its existing facility, Oil Search CEO Peter Botten says.
    • The Papua New Guinea development is a key part of XOM's efforts to expand oil and gas production, whcih has fallen each year since 2010.
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  • Jul. 12, 2014, 8:25 AM
    • The problem facing Canada isn't the Keystone pipeline or Pres. Obama or environmentalists - it's the oil sands, and they've got to be cleaned up and the head-in-the-sand denials chased way or the country will be stuck with a "baby seal hunt" image, Diane Francis writes in the Financial Post.
    • The columnist thinks she knows the right person to lead the clean-up: Jeff Immelt - "an American leader with stature in Washington, on Wall Street, in the oil patch and in Silicon Valley" - who said this week that GE will help companies clean up the oil sands.
    • The only way to stop the environmental excuses, Immelt believes, is for the industry to collaborate and voluntarily establish lower emissions targets that would make the oil sands competitive with any other fuel source in the world - without such a promise to provide cleaner energy, "all bets are off."
    • Some related companies: XOM, IMO, SU, RDS.A, RDS.B. ENB, TRP, CNQ, CVE, CVX, COP, BP, KMP, WPZ, TOT, STO, CEO, SNP, PTR, HUSKF, ATHOF, COSWF.
  • Jul. 11, 2014, 8:10 AM
    • Exxon Mobil (XOM) is making a contrarian bet to boost its struggling European refining business with its plan to invest more than $1B in expanding diesel fuel production at its big refinery in Antwerp, Belgium.
    • XOM’s head of refining for Europe and most other non-U.S. regions says the company is taking a long-term view on diesel: “If you look at Europe, demand for diesel continues to increase and demand for gasoline is decreasing."
    • Big shifts in the European auto fleet have caused huge changes in fuel consumption; car and truck drivers in the EU now burn at least 2.5x more diesel than gasoline, while the use was even a decade ago.
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  • Jul. 10, 2014, 2:57 PM
    • Exxon Mobil's (XOM -1%) contends Pennsylvania's attorney general has improperly singled it out in a bid to stop fracking, amid charges that XOM subsidiary XTO Energy is criminally liable for a leak of 57K gallons of wastewater that had been used in a fracking operations in the state in 2010.
    • The AG office argues XTO failed to install a system to contain spills around the storage tanks and neglected to secure them; the company says others have committed worse environmental offenses but haven't been prosecuted.
    • XTO is asking a judge to order prosecutors to turn over all documents related to the decision to bring charges, and to hold a hearing on the destruction of evidence.
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  • Jul. 9, 2014, 6:30 PM
    • A new EIA report underscores the remarkable comeback of the Permian Basin, which boomed in an earlier era, faded and now leads the U.S. in oil production.
    • Daily crude oil production in the Permian, which lies under much of west Texas and part of eastern New Mexico, has increased from a low of 850K barrels in 2007 to 1.35M barrels last year.
    • The increased production is concentrated in six low-permeability formations: the Spraberry, Wolfcamp, Bone Spring, Glorieta, Yeso, and Delaware.
    • Among the top Permian producers: OXY, PXD, APA, KMP, XOM, COG, CVX, EOG, EGN, XEC, FANG.
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Company Description
Exxon Mobil Corporation is engaged in energy, involving exploration for, and production of, crude oil and natural gas, manufacture of petroleum products and transportation and sale of crude oil, natural gas and petroleum products.