Exxon Mobil Corporation has announced it will streamline its upstream organisation and centralise project delivery across the company to support previously announced plans to double operating cash flow and earnings by 2025.
“We’re simplifying and integrating our upstream organisation to better capitalise on the industry-leading portfolio we’ve assembled through acquisitions and exploration success in the US Permian Basin, Guyana, Mozambique, Papua New Guinea and Brazil,” says Neil Chapman, senior vice president.
“Our focus is on increasing overall value by strengthening our upstream business and further integrating it with the downstream and chemical segments to take advantage of our unique capabilities across the value chain. A clear example is what we’re doing in the Permian, which includes upstream, midstream and downstream investments, enabling us to maximise value unlike any of our competitors.”
The reorganisation will be effective April 1 and involve creation of three new upstream companies – ExxonMobil Upstream Oil & Gas Company, ExxonMobil Upstream Business Development Company and ExxonMobil Upstream Integrated Solutions Company.
The ExxonMobil Upstream Oil & Gas Company will focus on end-to-end value chain management in five distinct global businesses – unconventional, liquefied natural gas, deepwater, heavy oil and conventional.
ExxonMobil Upstream Business Development Company will oversee strategy development, exploration, acquisitions and divestments and actively manage an upstream portfolio that is considered the most attractive since the 1999 merger of Exxon and Mobil. Consolidation of upstream portfolio management efforts in one organisation will further strengthen the company’s ability to optimise portfolio value.
ExxonMobil Upstream Integrated Solutions Company will provide technical and specialised commercial skills, such as drilling, research and technology, gas and power market optimisation, and the global deployment of resources.
The following executives will lead the new companies:
- Liam Mallon, currently president of ExxonMobil Development Company, will become president of ExxonMobil Upstream Oil & Gas Company.
- Steve Greenlee, currently president of ExxonMobil Exploration Company, will become president of ExxonMobil Upstream Business Development Company.
- Linda DuCharme, currently president of ExxonMobil Global Services Company, will become president of ExxonMobil Upstream Integrated Solutions Company.
The company’s proven project-delivery capability will be enhanced through a single organisation – ExxonMobil Global Projects Company – which will centralise major capital project planning and execution expertise into a single organisation that will support all three business segments – upstream, downstream and chemical.
Neil Duffin, currently president of ExxonMobil Production Company, will become president of ExxonMobil Global Projects Company.