ExxonMobil Stock Surges as 2024 Report Reveals Robust Revenue Growth and Strategic Expansion Plans
2min read ExxonMobil has recently unveiled its 2024 financial report, showcasing impressive figures with total annual revenues amounting to $349.585 billion and net earnings of $33.7 billion. The company's performance in the upstream energy supply sector was particularly notable, with net production reaching 4.3 million barrels of oil equivalent per day — an increase of 595,000 barrels per day or 16% compared to 2023. Additionally, ExxonMobil's net production of crude oil and natural gas liquids stood at 2,987 thousand barrels per day, while the sales of energy products such as gasoline, diesel, kerosene, and jet fuel amounted to 5,418 thousand barrels per day. These outcomes underscore the company's robust supply capabilities and substantial market share within the global energy landscape.
In the realm of chemical products, ExxonMobil reported significant achievements, with annual sales reaching 19.392 million tons, and specialized chemicals registering sales of 7.666 million tons. The gains in chemical product earnings were $2.6 billion, marking a $940 million increase over 2023, while specialized chemicals earnings grew by $338 million to reach $3.1 billion. This growth was driven chiefly by improved profit margins in base oils and finished lubricants, cost savings, and record-high sales of high-value products. Despite a global decline in refining profits due to increased supply from additional capacity surpassing global demand, ExxonMobil managed to maintain robust financial performance across several sectors, reinforcing its leadership position in the global energy and chemical industries.
ExxonMobil has also revealed ongoing interest in a potential large-scale ethylene complex project in the U.S., specifically in Calhoun County, north of Corpus Christi, Texas. This project is aimed at building an ethane cracker and a polyethylene facility, with construction possibly beginning in 2025, expected to reach completion by the end of 2030, and start operations in 2031. Although a final investment decision is yet to be made, the company's tax incentive application suggests its significant interest in this undertaking. However, ExxonMobil is also exploring other possible locations for this venture in regions like the Middle East, Asia, and other parts of North America.
Moreover, ExxonMobil and its partners are advancing another phase of development at the Kipper gas field off the coast of Australia. The local subsidiary, Esso Australia Resources, confirmed an investment of nearly AUD 200 million (around $127 million) for the Kipper 1B project. This includes additional gas reserves development in the Gippsland Basin, aiming to expand capacity and supply crucial gas resources by the winter of 2026. The project has secured necessary approvals and includes drilling a subsea well and significant upgrades to the West Tuna platform.
ExxonMobil's Australian Chairman, Simon Younger, emphasized the importance of projects like Kipper 1B in meeting national energy security needs, highlighting their role in ensuring reliable and affordable electricity while providing stability for a transition to a lower-carbon future. The initiative forms part of ongoing investments to ensure sustained production of natural gas in the region until the 2030s. Such developments affirm ExxonMobil's strategic efforts to foster energy security and adaptability in the face of evolving market dynamics and environmental considerations.
