ExxonMobil added 4.5 billion boe in 2018, boosted by Guyana and Brazil

U.S oil major ExxonMobil has said it added 4.5 billion oil-equivalent barrels of proved oil and gas reserves in 2018, replacing 313 percent of the year’s production.

The Stena Carron drillship used by ExxonMobil in Guyana
The Stena Carron drillship used by ExxonMobil in Guyana / Author: Ronnie Robertson / CC BY-SA 2.0

ExxonMobil’s proved reserves totaled 24.3 billion oil-equivalent barrels at year-end 2018. Liquids represented 64 percent of the reserves, up from 57 percent in 2017.

Exxon’s reserves were boosted my discoveries in Guyana and Brazil, as well as growth in the Permian Basin in the U.S.

ExxonMobil added 1.3 billion oil-equivalent barrels to its resource base in 2018 through by-the-bit exploration discoveries and strategic acquisitions, primarily in Guyana and Brazil. The resource base includes proved reserves, plus other discovered resources that are expected to be ultimately recovered.

Exxon just recently announced oil discoveries the Tilapia-1 and Haimara-1 wells, bringing the total number of discoveries on the Stabroek Block offshore Guyana to 12.

ExxonMobil’s reserves life at current production rates is 17 years.

“Over the past 10 years, ExxonMobil has added proved oil and gas reserves totaling approximately 17 billion oil-equivalent barrels, replacing 108 percent of produced volumes, including the impact of asset sales,” the company said.

ExxonMobil reports reserves based on the average of the applicable market price on the first day of each calendar month during the year. As a result of higher prices in 2018, about 3.6 billion oil-equivalent barrels, including volumes at the Kearl oil sands development in Canada, qualified as proved reserves additions at year-end, the company said.

During 2018, proved additions from unconventional plays totaled approximately 1.2 billion oil-equivalent barrels. Significant additions in the Permian Basin are supported by ExxonMobil’s growth plan including increased drilling activity and infrastructure development.

It is not all growth. Exxon has revised downward approximately 800 million oil-equivalent barrels in the Netherlands as a result of an agreement with the Dutch government to curtail production at the Groningen field.

Darren W. Woods, ExxonMobil chairman and chief executive officer said: “Multiple new discoveries offshore Guyana, continued growth in the Permian Basin and a strategic acquisition in Brazil greatly enhanced our already strong portfolio of high-quality, low-cost-of-supply opportunities.”