ExxonMobil highlighted the Permian Basin as a major driver of its production growth and efficiency improvements, emphasizing record production, integration of Pioneer Natural Resources, and new technologies aimed at cost reduction and enhanced recovery.

1. Record Permian Production & Growth Outlook

Record Output: ExxonMobil reported its highest-ever production from the Permian Basin in 2024, including assets from both Heritage ExxonMobil and Pioneer Natural Resources, which was acquired last year.
Production Forecast: Permian production is projected to grow from 1.5 million BOE/day at the end of 2024 to 2.3 million BOE/day by 2030—a more than 50% increase.
$3 Billion Annual Synergies: ExxonMobil expects to generate over $3 billion in average annual synergies from integrating Pioneer’s assets into its Permian operations.

2. Efficiency & Cost Improvements

Next-Generation Cube Design: The company is deploying a next-gen “cube” well design, which improves resource recovery and optimizes well spacing.
Lightweight Proppant Technology: ExxonMobil is applying a proprietary lightweight proppant to improve production rates while reducing costs.
Cost Leadership: The company continues to push for lower breakeven costs in the Permian, ensuring competitiveness in volatile markets.

3. Environmental & Low-Carbon Focus

Lower Emissions: ExxonMobil stated that its Permian growth will come with lower emissions intensity through better well designs and operational efficiencies.
Carbon Capture Potential: The company aims to use its carbon capture and storage (CCS) capabilities to reduce emissions from Permian production in the future.

4. Pipeline & Midstream Infrastructure

Permian Crude Venture: ExxonMobil confirmed that its pipeline infrastructure in the region is fully operational, improving takeaway capacity and reducing bottlenecks.
Golden Pass LNG: While not directly in the Permian, ExxonMobil’s Golden Pass LNG project in Texas will help link Permian natural gas to global markets.

5. Role in U.S. Energy Security

ExxonMobil positioned the Permian Basin as a key part of U.S. energy independence, emphasizing that growth in domestic production strengthens national security and reduces reliance on foreign oil.

Bottom Line

ExxonMobil is doubling down on its Permian strategy, leveraging the Pioneer acquisition, cost-cutting innovations, and infrastructure investments to drive long-term high-margin, low-emission production growth. The company expects significant cash flow contributions from the Permian, reinforcing its shareholder return programs and investment in new technologies.