ExxonMobil Cuts Capital Spending - Quick Facts

(RTTNews) - ExxonMobil (XOM) has decided to reduce its 2020 capital spending by 30 percent and lower cash operating expenses by 15 percent. The largest share of the capital spending reduction will be in the Permian Basin. The company's capital investments for 2020 are now expected to be about $23 billion, down from the previously announced $33 billion.

"After a thorough evaluation of the impacts of the pandemic and market conditions, we have worked closely with business partners to plan and execute capital adjustments that preserve long-term value, maximize cost efficiency, and put us in the strongest position when market conditions improve," said Darren Woods, CEO of Exxon Mobil.

Despite the announced reductions, ExxonMobil expects to meet its projected investment of $20 billion on U.S. Gulf Coast manufacturing facilities made in its 2017 Growing the Gulf initiative. The company expects to reach its proposed U.S. investment of $50 billion over five years announced in 2018.