Third Quarter 2012 Earnings Call November 1, 2012 David Rosenthal Vice President Investor Relations & Secretary
Cautionary Statement Forward-Looking Statements. Outlooks, forecasts, estimates, targets, business plans, and other statements of future events or conditions in this presentation or the subsequent discussion period are forward-looking statements. Actual future results, including financial and operating performance; demand growth and mix; ExxonMobil s production growth and mix; the amount and mix of capital expenditures; future distributions; resource additions and recoveries; finding and development costs; project plans, timing, costs, and capacities; drilling programs; product sales and mix; and the impact of technology could differ materially due to a number of factors. These include changes in oil or gas prices or other market conditions affecting the oil, gas, and petrochemical industries; reservoir performance; the outcome of exploration; timely completion of development projects; war and other political or security disturbances; changes in law or government regulation and outcomes of litigation; the outcome of commercial negotiations; the actions of competitors and customers; unexpected technological developments; the occurrence and duration of economic recessions; unforeseen technical difficulties; and other factors discussed here and under the heading "Factors Affecting Future Results" in the Investors section of our Web site at exxonmobil.com. Completion of pending acquisitions will depend on the terms and timing of government approvals and satisfaction of other conditions precedent contained in the applicable agreements. See also Item 1A of ExxonMobil s 2011 Form 10-K. Forward-looking statements are based on management s knowledge and reasonable expectations on the date hereof, and we assume no duty to update these statements as of any future date. Frequently Used Terms. References to resources, resource base, discovered resources, recoverable resources and similar terms include quantities of oil and gas that are not yet classified as proved reserves under SEC definitions but that we believe will likely be developed and moved into the proved reserves category in the future. For definitions and more information regarding resources, reserves, return on average capital employed, cash flow from operations and asset sales, and other terms used in this presentation, including information required by SEC Regulation G, see the "Frequently Used Terms" posted on the Investors section of our Web site. The Financial and Operating Review on our Web site also shows ExxonMobil's net interest in specific projects. 2
Business Environment Global economic uncertainty continued in the third quarter with further weakness in Europe and Japan U.S. GDP showed marginal improvement China s growth rate decline moderated versus prior quarters Higher crude oil and U.S. natural gas prices Stronger industry refining margins Europe and Asia chemical margins showed continued weakness 3
3Q12 Financial Results Achieved strong results while investing for the long term Earnings 9.6 Earnings Per Share Diluted (dollars) 2.09 Shareholder Distributions 7.6 CAPEX 9.2 Cash Flow from Ops and Asset Sales* 14.0 Cash 13.3 Debt 12.4 Billions of dollars unless specified otherwise 4 Note: earnings exclude special items, if applicable. See IR supplement for Non-GAAP reconciliations. Note: cash includes restricted cash of $206M. * Includes $0.6B associated with asset sales.
3Q12 Sources and Uses of Funds Superior cash generation provides ability to fund robust projects, return cash to shareholders, and maintain financial flexibility Beginning Cash 18.0 Earnings 9.6 Depreciation 4.0 Working Capital / Other (0.2) 14.0 Proceeds Associated with Asset Sales 0.6 Additions to PP&E (8.0) Shareholder Distributions (7.6) Additional Financing / Investing (3.1) Ending Cash 13.3 Billions of dollars unless specified otherwise 5 Note: earnings exclude special items, if applicable. See IR supplement for Non-GAAP reconciliations. Note: beginning and ending balances include restricted cash of $215M and $206M respectively.
Total Earnings 3Q12 vs. 3Q11 Earnings decreased by $760M, primarily due to lower gains from asset sales and lower upstream volumes partly offset by higher refining margins 10,330 (2,421) Millions of Dollars 1,611 (213) 263 9,570 3Q11 U/S D/S Chem C&F 3Q12 Note: earnings exclude special items, if applicable. See IR supplement for Non-GAAP reconciliations. 6
Total Earnings 3Q12 vs. 2Q12 Earnings decreased by $6.3B primarily due to lower gains on asset sales Millions of Dollars 15,910 (2,385) (3,456) (659) 160 9,570 2Q12 U/S D/S Chem C&F 3Q12 Note: earnings exclude special items, if applicable. See IR supplement for Non-GAAP reconciliations. 7
Upstream Major Projects Advanced global portfolio of high-quality projects Nigeria Satellites Phase 1 project on track for first oil in 4Q 2012 Kearl Initial Development phased start-up activities underway PNG construction and Hides drilling progressing PNG LNG Plant Site 8
Upstream Gulf of Mexico Advanced opportunities in the Gulf of Mexico Drilled two Hadrian North appraisal wells Active Exploration drilling program Hummer Shallow Phobos Thorn Deepwater Champion Hadrian 7 9
Upstream Black Sea Established a material acreage position in the northern Black Sea Domino Discovery Ukraine Awarded Skifska Block Tender Ukraine Negotiating JOA and PSA Romania Russia Romania Skifska Preparing for 3D seismic acquisition in late 2012 Bulgaria Neptun Turkey Georgia Drilling planned for late 2013-2014 Russia 400km 3D seismic processing underway Drilling planned for 2014-2015 10
Upstream Russia Arctic and West Siberia Exploration Progressed Strategic Cooperation Agreement with Rosneft Kara Sea exploration activities Completed Kara Sea 3D seismic acquisition West Siberia Basin Boundary Completed oceanographic study Drilling planned for 2014-15 Advancing arctic drilling technology Gas Fields Gas & Oil Fields West Siberia exploration Work program under development Drilling planned to begin in 2013 Oil Fields 11
Upstream Unconventional Liquids Continued focus on high-potential, liquids-rich opportunities United States Bakken Signed agreement which will increase position to nearly 600,000 net acres Woodford Ardmore - Advanced infrastructure projects Bakken Drilling Rigs Western Canada Signed agreement to acquire 649,000 net acres in the Montney and Duvernay shales 12
Upstream Earnings 3Q12 vs. 3Q11 Earnings decreased $2.4B primarily due to lower gains on asset sales and lower volumes Millions of Dollars 8,394 (130) (700) (1,600) 5,973 3Q11 Realization Vol/Mix Other 3Q12 Note: earnings exclude special items, if applicable. See IR supplement for Non-GAAP reconciliations. 13
Upstream Volumes 3Q12 vs. 3Q11 Volumes decreased 7.5%: liquids -133 kbd, natural gas -1,136 mcfd koebd 4,282 (144) 9 (62) (125) 3,960 3Q11 Entitlements Quotas Divestments Net Growth 3Q12 14
Upstream Earnings 3Q12 vs. 2Q12 Earnings decreased $2.4B reflecting lower gains on asset sales and lower volumes, partly offset by stronger realizations Millions of Dollars 8,358 340 (540) (2,180) 5,973 2Q12 Realization Vol/Mix Other 3Q12 Note: earnings exclude special items, if applicable. See IR supplement for Non-GAAP reconciliations. 15
Upstream Volumes 3Q12 vs. 2Q12 Volumes decreased 4.6%: liquids -92 kbd, natural gas -600 mcfd koebd 4,152 (39) (1) (1) (151) 3,960 2Q12 Entitlements Quotas Divestments Net Growth 3Q12 16
Upstream 2012 Volumes Year-to-date volumes below outlook 4,300 Volumes (koebd) Operational performance approximately 1% below outlook 4,200 4,100 Est. 3QYTD Analyst Mtg. $111 Brent 3QYTD Actual Higher prices and divestments impacting volumes Fourth quarter volumes supported by seasonal demand, project startups, and completion of scheduled downtime 4,000 17
Downstream Earnings 3Q12 vs. 3Q11 Earnings increased $1.6B due to improved margins, gains on assets sales, and forex Millions of Dollars 780 3,190 850 (20) 1,579 3Q11 Margin Vol/Mix Other 3Q12 18 Note: earnings exclude special items, if applicable. See IR supplement for Non-GAAP reconciliations.
Downstream Earnings 3Q12 vs. 2Q12 Earnings decreased $3.5B due to lower gains on asset sales partly offset by improved refining margins Millions of Dollars 6,646 650 300 (4,410) 3,190 2Q12 Margin Vol/Mix Other 3Q12 Note: earnings exclude special items, if applicable. See IR supplement for Non-GAAP reconciliations. 19
Chemical Earnings 3Q12 vs. 3Q11 Earnings decreased $213M primarily due to weaker margins 1,003 (150) Millions of Dollars (10) (50) 790 3Q11 Margin Vol/Mix Other 3Q12 Note: earnings exclude special items, if applicable. See IR supplement for Non-GAAP reconciliations. 20
Chemical Earnings 3Q12 vs. 2Q12 Earnings decreased $659M due to lower gains on asset sales and weaker margins Millions of Dollars 1,449 (90) 20 (590) 790 2Q12 Margin Vol/Mix Other 3Q12 21 Note: earnings exclude special items, if applicable. See IR supplement for Non-GAAP reconciliations.
Summary ExxonMobil s strong financial and operating performance reflects the value of our integrated business model and competitive advantages Billions 3Q12 Earnings $9.6 Cash Flow from Ops and Asset Sales* $14.0 Capex $9.2 Shareholder Distributions $7.6 ExxonMobil possesses unique competitive advantages that create long-term shareholder value Balanced portfolio Disciplined investing High-impact technologies Operational excellence Global integration 22 Note: earnings exclude special items, if applicable. See IR supplement for Non-GAAP reconciliations. * Includes $0.6B associated with asset sales.
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