ExxonMobil has announced estimated first quarter 2019 earnings of $2.4 billion, compared with $4.7 billion a year earlier. Cash flow from operations and asset sales was $8.4 billion, including proceeds associated with asset sales of $107 million.
Capital and exploration expenditures were $6.9 billion, up 42 percent from the prior year, reflecting key investments in the U.S. Permian Basin.
ExxonMobil and partner Qatar Petroleum made a final investment decision (FID) in the first quarter to proceed with development of the Golden Pass LNG export project located in Sabine Pass, Texas. The facility is expected to start up in 2024. The project will have capacity to produce approximately 16 million tonnes of LNG per year and provide an increased, reliable, long-term supply of LNG to global gas markets.
Additionally, ExxonMobil reached an FID and started construction on a new unit at its Beaumont, Texas refinery that will increase crude refining capacity by more than 65 percent, or 250,000 barrels per day. The third crude unit within the facility’s existing footprint will expand light crude oil refining and be supported by increased crude oil production in the Permian Basin.
It also reached an FID on construction of a new polypropylene production unit in Baton Rouge, Louisiana that will expand production capacity along the Gulf Coast by up to 450,000 metric tonnes per year. Construction will begin in 2019 and startup is anticipated by 2021.
“Solid operating performance in the first quarter helped mitigate the impact of challenging Downstream and Chemical margin environments. In addition, we continued to benefit from our integrated business model,” said Darren W. Woods, Chairman and CEO. “We are making strong progress on our growth plans and expect to deliver sustained value for our shareholders. The change in Canadian crude differentials, as well as heavy scheduled maintenance, similar to the fourth quarter of 2018, affected our quarterly results.”
Oil-equivalent production was four million barrels per day, up two percent from the first quarter of 2018. Excluding entitlement effects and divestments, oil-equivalent production was up three percent from the first quarter of 2018. Upstream liquids production grew by five percent compared with the first quarter of 2018, driven by Permian unconventional growth of nearly 140 percent.