31/01/2011

By Max Clarke

ExxonMobil continues to deliver strong financial and operating results. The full year 2010 earnings, excluding special items, were $30.5 billion, up 57% from 2009, driven by higher crude oil and natural gas realizations, stronger refining margins and record Chemical performance. Fourth quarter earnings were $9.3 billion, an increase of 53% [from Q4 2009].

Commented Exxon Mobil chairman W. Tillerson after the company’s buoyant performance in Q4 2010 was announced.

Highlights for the company’s full year performance include:
• Earnings excluding special items were $30,460 million, up 57%.
• Earnings per share excluding special items increased 55% to $6.22.
• Earnings were up 58% from 2009. Earnings for 2009 included a special charge of
$140 million for interest related to the Valdez punitive damages award. Earnings for the full
year of 2010 did not include any special items.
• Oil-equivalent production was up 13% from 2009. Excluding the impacts of entitlement
volumes, OPEC quota effects and divestments, production was up 14%.
• Cash flow from operations and asset sales was $51.7 billion, including $3.3 billion from
asset sales.
• The Corporation distributed over $19 billion to shareholders in 2010 through dividends and
share purchases to reduce shares outstanding.
• Capital and exploration expenditures were $32.2 billion, up 19% versus 2009

Upstream earnings were $24,097 million, up $6,990 million from 2009. Higher realizations increased earnings approximately $6.5 billion. Higher volumes increased earnings by $1.2 billion, while all other items, including higher operating costs, decreased earnings by $690 million.

On an oil-equivalent basis, production was up 13% compared to 2009. Excluding the impacts of entitlement volumes, OPEC quota effects and divestments, production was up 14%. Liquids production of 2,422 kbd (thousand barrels per day) increased 35 kbd compared with 2009. Excluding the impacts of entitlement volumes, OPEC quota effects and divestments, liquids production increased 2% from 2009, as project ramp-ups in Qatar and the addition of XTO were offset by net field decline. Natural gas production of 12,148 mcfd (million cubic feet per day) increased 2,875 mcfd from 2009, driven by n higher volumes from Qatar projects and additional U.S. unconventional gas volumes.

Earnings from U.S. Upstream operations for 2010 were $4,272 million, an increase of $1,379 million from 2009. Non-U.S. Upstream earnings were $19,825 million, up $5,611 million from 2009.

Downstream earnings of $3,567 million were $1,786 million higher than 2009. Higher industry refining margins increased earnings by $1.2 billion. Positive volume and mix effects increased earnings by $420 million, while all other items, including lower operating expenses, increased earnings by $210 million. Petroleum product sales of 6,414 kbd decreased 14 kbd.