Exxon Mobil Corp Q2 2025 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Devin McDermott - Morgan Stanley & Co Ltd - Analyst : So a lot of good stuff to dive into in the release, but I actually wanted to ask, Darren, about some comments you recently made an interview around M&A on paraphrasing a bit but just talking about seeing opportunities and working to bring some of that to fruition, just unpack that a bit. If you think about your portfolio, you have a really strong organic opportunity ahead. And I imagine that creates a very high bar. And then at the same time, you've also talked a lot about the technology you bring to bear, like the uplift highlighting in the release on the Permian. And that may be able to create value in assets that others can't. So when you put these factors together, high bar differentiated technology, differentiated scale, how does that influence your thoughts on further acquisitions and M&A for Exxon are there asset types or regions where you see the biggest opportunity?

Question: Devin McDermott - Morgan Stanley & Co Ltd - Analyst : Makes a lot of sense. Thanks for the thoughts, Darren.

Question: Neil Mehta - Goldman Sachs Group Inc - Analyst : Yeah. Thanks, Darren, for the comments. I wanted to drill down on slide 7, where you provided some new disclosure about the Permian production potential, and there's been a lot that's been said about peak Permian production across the basin. Do you have a different view given your technology upside. Certainly, it seems like you do for your portfolio? And in that context, on the back of Devin's question about M&A, is it logical to think that this is the right space for you to be the consolidator in?

Question: Stephen Richardson - Evercore Inc - Analyst : Hi, good morning. Darren, I was wondering if you could talk a little bit about some of the downstream projects. Obviously, you've had great success bringing on a number of these major projects this year, but I was wondering if you could talk maybe about lessons learned, Strathcona and Singapore. And then if you could also talk a little bit about maybe some of your future growth ambitions in refinery in refining? How do you think about the next wave of opportunities? And are they as fruitful as what the last five years has proven in the downstream specifically?

Question: Stephen Richardson - Evercore Inc - Analyst : Thanks.

Question: Betty Jiang - Barclays Services Corp - Analyst : Good morning. Thank you for taking my question. Maybe pivoting a bit to the low carbon businesses. It's interesting to see the contrast from the Big Beautiful Bill that between the rollback in the hydrogen incentive, but arguably enhancement in the carbon capture incentive. Just curious on your thoughts on how do you see the low carbon business opportunity set and CapEx evolving versus what was laid out in the December Analyst Day? And specifically on CCS, that 10 million ton per annum is no small feat. So as the credit now is cutting carbon utilization and sequestration at parity, does that further open up the opportunity set for projects? Thank you.

Question: Betty Jiang - Barclays Services Corp - Analyst : Great. Thank you. Super helpful.

Question: Paul Cheng - Scotiabank GBM - Analyst : Thank you. Good morning. [Exxon] has always been a great technology company. And in your prepared remarks, you're talking about how the $18 billion of the cost saving target in 2030 and new technology may be able to bring in more opportunity and beyond that. So from that standpoint, I mean, two of the biggest [rep-advanced] technologies, AI and robotics. And so can you help us understand that where are the biggest opportunities for Exxon in those two areas and how it will change your work forward processes ability. I mean you'll be able to do things that you previously would not be able to do. And that, how much is the potential incremental benefit cost synergy or efficiency gains beyond what you already built in into your current target that you could see potentially that is out there? And why do you think Exxon is better than in [others] the oil industry, be able to really take advantage of that. Thank you.

Question: Paul Cheng - Scotiabank GBM - Analyst : Thank you. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. AUGUST 01, 2025 / 1:30PM, XOM.N - Q2 2025 Exxon Mobil Corp Earnings Call

Question: Biraj Borkhataria - RBC Capital Markets Inc - Analyst : Hi. Thanks for taking my questions. Just a quick one on the corporate cost guidance. just noticed over the last few quarters, it's been creeping up with the 2025 run rate, looks like it's about double 2024 levels. And just if you could help me understand what is driving that increase and how we should think about it into 2026. That would be really helpful.

Question: Biraj Borkhataria - RBC Capital Markets Inc - Analyst : Thank you, both. I'll follow-up on that. Thank you.

Question: Jean Ann Salisbury - Bofa Merrill Lynch Asset Holdings Inc - Analyst : Hi, good morning. Since Liberation Day, there has been a massive influx of interest in US LNG contracting. And it looks like many more US projects may move forward versus initially anticipated. Do you view this as a structural shift in the market? And does it affect, I guess, either your interest in getting into more US LNG or the timeline for your pre-FID international LNG projects? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. AUGUST 01, 2025 / 1:30PM, XOM.N - Q2 2025 Exxon Mobil Corp Earnings Call

Question: Jean Ann Salisbury - Bofa Merrill Lynch Asset Holdings Inc - Analyst : Very clear. Thank you.

Question: Jason Gabelman - Cowen and Company LLC - Analyst : Morning. Thanks for taking my question. I wanted to ask on Guyana production. And at the corporate update in December, you talked about lower production and capacity due to production falling off plateau levels. Can you remind us when we should start to see that production plateau start to come off? And then also remind us activities that you're pursuing to arrest those declines that we should be on the lookout for?

Question: Jason Gabelman - Cowen and Company LLC - Analyst : Understood. Thanks.

Question: Arun Jayaram - JPMorgan Chase & Co - Analyst : I actually have a follow-up and a little bit of a detailed question on Guyana as well. Looking at the data, both Liza 2 and Payara have recently been running around 270 kbd per day versus nameplates at 220 and 250. So I was wondering if you could talk about some of the debottlenecking efforts you've been doing there and if you view that as a sustainable run rate? And maybe just a follow-up as we have seen output at the Liza 1 ship kind of come down more recently in that 130 to 140 range versus, call it, 160 kbd in 2024 and thoughts on an infill program to maybe sustain the rate back at full capacity there?

Question: Arun Jayaram - JPMorgan Chase & Co - Analyst : Great. Thanks.

Question: Ryan Todd - Piper Jaffray Inc - Analyst : Thanks. Maybe a question on the chemical side. your earnings have been fairly resilient to the bottom here, even with lower margins sequentially this quarter. Can you talk about what has worked well, including the contribution that you're seeing from the China chemical complex? And then maybe your thoughts on where the chemical outlook goes from here?

Question: Alastair Syme - Citibank Cameroon SA - Analyst : Thanks very much. Good morning, Darren. I wonder if I could return if I could return to the very first question on M&A because it's quite an important comment, I think you made. I mean might take your point that volume is not a criteria. Do you feel a little by scale? I'm trying to ascertain whether you're sort of talking about bolt-on transactions or something larger in your perspective? Thank you.

Question: Alastair Syme - Citibank Cameroon SA - Analyst : Thank you, Dareen and Jim.