ExxonMobil cuts spending by 25 percent

Oil and gas giant ExxonMobil said Wednesday it will reduce capital spending by 25 percent in 2016. The Irving, Texas company plans to spend $23 billion this year.

ExxonMobil in February posted a 58 percent drop in quarterly profit, and a 50 percent decline in 2015 earnings due to plunging oil and gas prices.

One of the world’s largest LNG players said in a statement on Wednesday it is on track to start up 10 new upstream projects in 2016 and 2017, adding 450,000 oil-equivalent barrels per day of working-interest production capacity.

“We remain steadfast in our mission to create superior long-term shareholder value,” ExxonMobil’s CEO Rex W. Tillerson said at the company’s annual analyst meeting at the New York Stock Exchange.

“We have the financial flexibility to pursue attractive opportunities and can adjust our investment program based on market demand fundamentals,” Tillerson added.

LNG World News Staff