ExxonMobil announced that it is scaling back its planned investments in low-carbon projects for the 2025–2030 period. The company now expects to spend around $20 billion, which is $10 billion less than the estimate it provided last December.
The company said future spending on low-carbon ventures will depend on supportive government policies and stronger market demand, stressing that investments must still deliver solid returns for shareholders.
Even with these investments, low-carbon projects remain a small part of ExxonMobil’s overall capital plans. The company’s annual capital budget will stay between $27–32 billion, most of which continues to support traditional oil and gas operations.
A company presentation highlighted seven carbon capture and storage (CCS) projects along the U.S. Gulf Coast that are at different stages of development. CFO Kathy Mikells said interest in CCS from industrial customers is rising, although the hydrogen market is growing more slowly than previously expected.
ExxonMobil also raised its forecast for earnings and cash flow by $5 billion, citing improvements in operating efficiency.
