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Summary
Annual Report
2 013

Table of contents

  • Page 1
    Summary Annual Report 2013

  • Page 2
    ... Our Shareholders Financial & Operating Summary The Outlook for Energy Delivering Profitable Growth Global Operations Upstream Downstream Chemical Corporate Citizenship Financial Information Frequently Used Terms Directors, Officers, and Affiliated Companies Investor Information General Information...

  • Page 3
    ... affordable energy to dynamic global markets. Our success is built on long-term planning, disciplined investment, new leading-edge technologies, unmatched risk management, and operational excellence. With this ongoing challenge comes unparalleled opportunity, as we work to deliver profitable growth...

  • Page 4
    ... refiner. Our world-class refining assets are geographically diverse and highly integrated with chemicals and lubes manufacturing facilities. We are making targeted investments to strengthen the portfolio and increase production of high-value products, such as ultra-low sulfur diesel, jet fuel...

  • Page 5
    ... is partnering with Saudi Basic Industries Corporation to develop a specialty elastomers plant to serve growth markets in the Middle East and Asia. In the United States, we are progressing plans to construct a new world-scale ethane cracker and associated premium polymer capacity at our Gulf Coast...

  • Page 6
    ...• Commissioned a new diesel hydrotreater in Singapore to increase ultra-low sulfur diesel production capacity Functional Earnings and Net Incom e Upstream Downstream Chemical Corporate and Financing Net Income (2) Return on Average Capital Employe d (1)(3) 2013 (percent) 25 2009-2013 average...

  • Page 7
    ... Terms on pages 44 and 45. (2) Natural gas converted to oil-equivalent at 6 million cubic feet per 1 thousand barrels. (3) S&P and CPI indexed to 1984 Exxon dividend. (4) CPI based on historical yearly average from Bureau of Labor Statistics. (5) Royal Dutch Shell, BP , Chevron, and Total values are...

  • Page 8
    ... value, prosperity, and good jobs. North America is expected to shift from being a net energy importer to an exporter by 2025, which will create new opportunities for trade. International trade will play an increasingly important role in meeting global demand for natural gas. The largest shift in...

  • Page 9
    ... operating environments. With its remote location, harsh weather, and dynamic ice cover, new technology solutions range from the use of extended-reach drilling, ice-resistant platforms, iceberg surveillance research, and computerized models to simulate and predict ice impacts. Deepwater oil and gas...

  • Page 10
    8 DELIVERING PROFITABLE GROW TH Operational Excellence

  • Page 11
    ... around the world to improve business performance and ensure that high operating standards are met. We incorporate these standard systems into our daily operations in places like the Gravenchon Refinery in France to improve safety performance, increase reliability, and lower operating costs.

  • Page 12
    ... globe, including at the Joliet Refinery (above and on opposite page). Employees also receive diverse experiences and assignments enabled by our global functional organization, which encourages the sharing of information and talent. Our goal is to retain employees for a long-term career so they can...

  • Page 13
    ... large part by energy efficiency improvements. With energy representing as much as 60 percent of the operating cost of a refinery, every incremental improvement in energy efficiency results in increased margins and profitability. Since 2002, we have improved refinery energy efficiency by 10 percent...

  • Page 14
    12 DELIVERING PROFITABLE GROW TH Upstream: Developing Advantaged Resources

  • Page 15
    ... New Guinea Liquefied Natural Gas (LNG) project is an example of where ExxonMobil is deploying its project execution and marketing expertise to develop a world-class resource to meet growing global demand for LNG. Tankers will load cargoes at the plant's jetty to deliver LNG to customers across Asia...

  • Page 16
    ...-up of the PNG Liquefied Natural Gas (PNG LNG) project in 2014. The $19 billion development in PNG will produce 6.9 million tonnes per annum (MTA) of LNG for shipment to international markets as well as domestic sales. It is designed to tap world-class reserves from eight separate fields spread...

  • Page 17
    ... marketing experience and successful track record of developing large LNG projects were instrumental in securing sales with customers in China, Japan, and Taiwan. E F F E C T I V E R E L AT I O N S H I P S W I T H T H E GOVE RNME NT AND LOC AL COMMUNITIES Throughout construction, the project team...

  • Page 18
    ... PROFITABLE GROW TH Upstream: Developing Advantaged Resources PHOTO: ExxonMobil is a leading operator in the prolific Bakken tight oil play in the United States, with holdings of approximately 570,000 net acres. By combining our unconventional expertise with our world-class research organization...

  • Page 19
    17

  • Page 20
    18 EXXONMOBIL 2013 SU M M A RY A N N U A L R EP O R T D E L I V E R I N G P R O F I T A B L E G R O W T H Upstream: Developing Advantaged Resources ExxonMobil has captured a significant position in one of the United States' premier tight oil plays, the Bakken of North Dakota and Montana. By ...

  • Page 21
    ... Siberia acreage position and operational expertise provides in Russia. numerous opportunities to test new technologies in the field and deliver proven technologies for immediate benefit. This partnership forms an important part of the future development strategy of the Middle Bakken and Three Forks...

  • Page 22
    ... PHOTO: With an average return on capital employed of 22 percent during the last five years, ExxonMobil Downstream consistently leads the competition throughout the business cycle. Investments will continue to focus on strengthening our advantaged downstream assets, such as our Strathcona Refinery...

  • Page 23
    21 DELIVERING PROFITABLE GROW TH Downstream: Strengthening the Portfolio

  • Page 24
    ... Used Terms on pages 44 and 45. (2) Royal Dutch Shell, BP , Chevron, and Total values are estimated on a consistent ultra-low sulfur diesel, jet fuel, chemical feedstocks, basis with ExxonMobil, based on public information. and lubricants, is expected to continue to grow. Our investments will...

  • Page 25
    ... Crude Refining Light Heavy (volume, indexed) 700 600 500 400 300 200 100 0 2010 2011 2012 2013 Downstream investments will also continue to expand refinery feedstock flexibility in order to lower raw material costs and increase margins. Our major focus will remain in North America, where...

  • Page 26
    ... world-class projects, such as the Singapore expansion, to process advantaged feedstocks and deploy lower-cost processes to strengthen our commodity business and increase premium product sales. The Singapore chemical site accounts for about one-fourth of ExxonMobil's global chemical capacity and...

  • Page 27
    25

  • Page 28
    ... of low-cost ethane feedstock, it will be enhanced by advantages in integration, scale, and premium products. The project includes a new world-scale ethane cracker at our site in Baytown, Texas, already the country's largest integrated refining-chemical manufacturing site. Feedstock and energy...

  • Page 29
    ...Middle East and Asia. We are integrating proprietary ExxonMobil technologies for premium halobutyl and ethylene propylene diene monomer (EPDM) rubbers into our existing operations at Jubail Industrial City with start-up planned for 2015. These ExxonMobil processes enable lower-cost production versus...

  • Page 30
    ...L R EP O R T Global Operations As of December 31, 2013 As the world's largest publicly held oil and gas company, ExxonMobil has a diverse and balanced portfolio of high-quality resources, projects, and assets across our Upstream, Downstream, and Chemical businesses. Upstream Our Upstream business...

  • Page 31
    29 Upstream Downstream Chemical ION

  • Page 32
    ... preparation to drill first Kara Sea exploration well in 2014 • Progressed three North America liquefied natural gas opportunities in Alaska, Western Canada, and at Golden Pass on the Texas Gulf Coast U P S T R E A M S TAT I S T I C A L R E C A P 2013 2012 2011 2010 2009 Earnings...

  • Page 33
    ... value for our shareholders through the disciplined execution of our Upstream strategies across exploration, development, production, natural gas and power marketing, and research activities. We begin by identifying and selectively capturing the highest-quality resources, testing for technical and...

  • Page 34
    ...-value products, and energy efficiency • Commissioned a new diesel hydrotreater in Singapore to increase ultra-low sulfur diesel production capacity DOWN STRE A M S TATI STI C A L REC A P 2013 2012 2011 2010 2009 Earnings (millions of dollars) Refinery throughput (thousands of barrels...

  • Page 35
    ... Ethanol Diesel Biodiesel Jet Fuel Fuel Oil Natural Gas Other (millions of oil-equivalent barrels per day) Asia Pacific 30 25 20 15 10 5 0 North America 30 25 20 15 10 5 0 Europe 30 25 20 15 10 5 0 2000 2020 2040 2000 2020 2040 2000 2020 2040 Source: ExxonMobil, 2014 The Outlook...

  • Page 36
    ...in the Middle East and Asia • Advanced plans for a major expansion at our Texas facilities, including a new world-scale ethane cracker and polyethylene trains to meet rapidly growing global demand for premium polymers C H E M I C A L S TAT I S T I C A L R E C A P 2013 2012 2011 2010 2009...

  • Page 37
    ... new capacity investments around the globe, particularly in North America with its abundant supplies of natural gas liquids. Over the last five years, unconventional natural gas development in North America has brought significant benefits to domestic chemical producers by providing both low-cost...

  • Page 38
    36 EXXONMOBIL 2013 SU M M A RY A N N U A L R EP O R T PHOTO: In Angola, a teacher works to educate his students. ExxonMobil invests in education programs that focus on training teachers and inspiring children to pursue careers in science, technology, engineering, and mathematics.

  • Page 39
    ...the 2013 Green Cross for Safety medal. The National Safety Council awards the medal to an organization that exhibits safety leadership at all levels, achieves an outstanding safety record, and is committed to improving the quality of life in the communities where its employees work and live. Safety...

  • Page 40
    ... good for communities and good for our business. As we develop oil and gas resources to meet the world's growing energy needs, we work to build and sustain local economic growth. Our focus is on educating, training, and hiring local employees, using local vendors to supply goods and services for our...

  • Page 41
    ... of Exxon Mobil Corporation: We have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the Consolidated Balance Sheets of Exxon Mobil Corporation and its subsidiaries as of December 31, 2013 and 2012, and the related Consolidated Statements...

  • Page 42
    ...Cash flow from operations and asset sales (1) Capital and exploration expenditures (1) Research and development costs Total debt at year end Average capital employed (1) Market valuation at year end Regular employees at year end (thousands) K E Y F I N A N C I A L R AT I O S 2013 Return on average...

  • Page 43
    ...) (1) Sales and other operating revenue includes sales-based taxes of $30,589 million for 2013, $32,409 million for 2012, and $33,503 million for 2011. The information in the Summary Statement of Income (for 2011 to 2013), the Summary Balance Sheet (for 2012 and 2013), and the Summary Statement of...

  • Page 44
    ... to Note 16 in ExxonMobil's 2013 Financial Statements and Supplemental Information booklet. The information in the Summary Statement of Income (for 2011 to 2013), the Summary Balance Sheet (for 2012 and 2013), and the Summary Statement of Cash Flows (for 2011 to 2013), shown on pages 41 through...

  • Page 45
    ... of exchange rate changes on cash Increase/(decrease) in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year The information in the Summary Statement of Income (for 2011 to 2013), the Summary Balance Sheet (for 2012 and 2013), and...

  • Page 46
    .... For this purpose, we assume dividends are reinvested in stock at market prices at approximately the same time actual dividends are paid. Shareholder return is usually quoted on an annualized basis. Proved Reserves • Proved reserve figures in this publication are determined in accordance with...

  • Page 47
    ... (millions of dollars) 2013 2012 2011 2010 2009 Dividends paid to ExxonMobil shareholders Cost of shares purchased to reduce shares outstanding Distributions to ExxonMobil shareholders Memo: Gross cost of shares purchased to offset shares issued under benefit plans and programs 10,875 15,000...

  • Page 48
    ...ExxonMobil Fuels, Lubricants & Specialties Marketing Company (1) President, ExxonMobil Research and Engineering Company President, ExxonMobil Refining & Supply Company (1) Chemical S.D. Pryor President, ExxonMobil Chemical Company (1) Other B.W. Milton President, ExxonMobil Global Services Company

  • Page 49
    ... (1) Vice President - Public and Government Affairs Vice President - Corporate Strategic Planning (1) Vice President and President - ExxonMobil Upstream Ventures (1) Vice President - Washington Office Vice President - Human Resources Vice President (1) S.M. Greenlee A.J. Kelly P.T. Mulva S.D. Pryor...

  • Page 50
    ...copies should be directed to ExxonMobil Shareholder Services. • Summary Annual Report • Annual Report on Form 10-K • Financial & Operating Review • Corporate Citizenship Report • The Outlook for Energy: A View to 2040 • The Lamp Exxon Mobil Corporation has numerous affiliates, many with...

  • Page 51
    ...-444-1505 Shareholder Relations Exxon Mobil Corporation P.O. Box 140369 Irving, TX 75014-0369 Market Information The New York Stock Exchange is the principal exchange on which Exxon Mobil Corporation common stock (symbol XOM) is traded. Annual Meeting The 2014 Annual Meeting of Shareholders will be...

  • Page 52
    Exxon Mobil Corporation Corporate Headquarters 5959 Las Colinas Blvd. Irving, Texas 75039-2298 exxonmobil.com Annual Report 002CSN33FC Printed in U.S.A.