IRVING, Texas, Feb 15, 2011 (BUSINESS WIRE) --
Mobil Corporation (NYSE:XOM) announced today that additions to its
proved reserves in 2010 totaled 3.5 billion oil-equivalent barrels,
replacing 209 percent of production. Excluding the impact of asset
sales, reserves additions replaced 211 percent of production.
"ExxonMobil continues to lead the industry in reserves replacement,"
said Rex W. Tillerson, chairman and chief executive officer. "Our
strategic focus on quality resource capture, a disciplined approach to
investment and excellence in project execution have resulted in
replacement of more than 100 percent of production for 17 consecutive
years. These reserve additions will enable ExxonMobil to develop new
supplies of energy to meet future demand and support economic growth and
improved standards of living."
The annual reporting of proved reserves is the product of the
corporation's long-standing, rigorous process that ensures consistency
and management accountability in all reserves bookings.
The corporation's reserves additions in 2010, the highest since the
merger of Exxon and Mobil, reflect strategic acquisitions, new
developments, as well as revisions and extensions of existing fields
resulting from drilling, studies and analysis of reservoir performance.
Reserves additions from acquisitions and subsequent revisions totaled 3
billion oil-equivalent barrels. Additions also came from the Sakhalin-1
Arkutun Dagi project in Russia and other countries including Canada, the
United States, Nigeria, Norway and Abu Dhabi. Liquid additions totaled
905 million oil-equivalent barrels for a 102 percent replacement ratio
and gas additions totaled 2.6 billion oil-equivalent barrels for a 328
percent replacement ratio.
At year-end 2010, ExxonMobil's proved reserves base increased to 24.8
billion oil-equivalent barrels, including 2.8 billion oil-equivalent
barrels from XTO. The proved reserves base is split between 47 percent
liquids and 53 percent gas, and includes oil sands extracted by mining
and equity company reserves. The 2010 proved developed reserves add of
3.3 billion oil-equivalent barrels was also the highest since the Exxon
and Mobil merger, driven by the successful startup of several projects,
the results of ongoing work programs, and the acquisition of XTO Energy
The long-term nature of the industry, and the large size of the discrete
projects that provide a significant portion of the corporation's
reserves additions, make it appropriate to consider a time horizon
longer than a single year. The 10-year average reserves replacement
ratio is 121 percent, with liquids replacement at 95 percent and gas at
158 percent. The reserves additions made during this period comprise a
diverse range of resource types and have broad geographical
representation. ExxonMobil's reserves life at current production rates
is 15 years.
Industry-Leading Resource Base
ExxonMobil added 14.6 billion oil-equivalent barrels to its resource
base in 2010. This represents the largest annual growth and largest
total resource base since the Exxon and Mobil merger, driven by resource
additions from the United States, Canada, Iraq, Australia, West Africa
and Europe. These additions include strategic acquisitions, continued
success in making by-the-bit exploration discoveries, undeveloped
resource additions, and revisions to our existing resources from ongoing
studies. The resource base associated with the XTO acquisition is 60
trillion cubic feet equivalent. Overall, the corporation's resource base
grew by 9.7 billion oil-equivalent barrels to 84.5 billion
oil-equivalent barrels, taking into account field revisions, production
and asset sales. The resource base includes proved reserves, plus other
discovered resources that are expected to be ultimately recovered.
CAUTIONARY NOTE: Proved reserves in this release, for 2009 and later
years are based on current SEC definitions, but for prior years the
referenced proved reserve volumes are determined on bases that differ
from SEC definitions in effect at the time. Specifically, for years
prior to 2009 included in our 10-year average replacement ratio,
reserves are determined using the SEC pricing basis but including oil
sands and our pro-rata share of equity company reserves for all periods.
Prior to 2009, oil sands and equity company reserves were not included
in proved oil and gas reserves as defined by the SEC. For years prior to
2009 included in our 17 straight years of at least 100 percent
replacement, reserves are determined using the price and cost
assumptions we use in managing the business, not the historic prices
used in SEC definitions. Reserves determined on ExxonMobil's pricing
basis also include oil sands and equity company reserves for all periods.
The reserves replacement ratio is calculated for a specified period
utilizing the applicable proved oil-equivalent reserves additions
divided by oil-equivalent production.
The terms "resources" and "resource base" include quantities of
discovered oil and gas that are not yet classified as proved reserves
but that are expected to be ultimately recovered in the future. The term
"resource base" is not intended to correspond to SEC definitions such as
"probable" or "possible" reserves.
SOURCE: Exxon Mobil Corporation
Alan Jeffers, 972-444-1107