XOM-2020 Annual Report

1 2020 Annual ReportCautionary Statement Statements of future events or conditions in this Report are forward-looking statements. Actual future results, including financial and operating performance; demand growth and mix; planned capital and cash operating expense reductions and efficiency improvements, and ability to meet or exceed announced reduction objectives; future reductions in emissions intensity and resulting reductions in absolute emissions; carbon capture results; resource recoveries; production rates; project plans, timing, costs, and capacities; drilling programs and improvements; and product sales and mix differ materially due to a number of factors including global or regional changes in oil, gas, or petrochemicals prices or other market or economic conditions affecting the oil, gas, and petrochemical industries; the severity, length and ultimate impact of COVID-19 on people and economies and the timing and pace of regional and global economic recovery; the ability to realize efficiencies within and across our business lines and to maintain cost reductions while protecting our competitive positioning; the impact of company actions to protect the health and safety of employees, vendors, customers, and communities.

2 Reservoir performance; the outcome and timing of exploration and development projects; timely completion of construction projects; war and other security disturbances, including shipping blockades or harassment; political factors including changes in local, national, or international policies affecting our business; changes in law or government regulation or policies, including trade sanctions, taxes, environmental regulations and policies to address climate change risks, the granting of necessary licenses and permits, and government actions to address the COVID-19 pandemic; the outcome of commercial negotiations; actions of competitors and commercial counterparties; actions of consumers including changes in demand preferences; the outcome of research efforts and the ability to bring new technology to commercial scale on a cost-competitive basis; the development and competitiveness of alternative energy and emission reduction technologies; unforeseen technical or operating difficulties; and other factors discussed here and in Item 1A.

3 Risk Factors of our most recent Form 10-K. All forward-looking statements are based on management s knowledge and reasonable expectations at the time of this Report and we assume no duty to update these statements as of any future date. As used in this publication, the term industry refers to publicly traded international energy companies. The term project can refer to a variety of different activities and does not necessarily have the same meaning as in any government payment transparency reports. Unless otherwise specified, data shown is for 2020. Prior years data have been reclassified in certain cases to conform to the 2020 presentation basis.

4 Unless otherwise stated, production rates, project capacities, and acreage values are gross. References to emissions refer to energy-related II To our shareholders IV Positioning for a lower-carbon energy future VI Energy for a growing population Scalable technology solutions VIII Providing energy and products for modern life IX Progressing advantaged investments X Creating value through our integrated businesses XII Upstream XIV Downstream XV Chemical XVI Board of Directors 1 Form 10-K 124 Stock performance graphs 125 Frequently used terms 126 Footnotes127 Investor informationABOUT THE COVER Delivery of two modules to the Corpus Christi Chemical Project site in 2020.

5 Each module weighed more than 17 million pounds, reached the height of a 17-story building, and was transported more than 5 miles over the people on the front lines the first responders, health care workers, employees and essential businesses who are courageously helping all of us during the coronavirus pandemic. As a company with employees worldwide, we have a deep appreciation for what is needed to mobilize and assist people on a global scale. We have worked together to endure unprecedented challenges this year, and we will continue to provide the critical products and reliable energy that support our heroes on the front lines and our communities around the world.

6 We are grateful to all who stepped up to YOUIEXXONMOBIL 2020 Annual REPORTTO OUR SHAREHOLDERSThe past year was like no other in recent memory. The global pandemic took a tragic toll on people and communities, while severely impacting businesses, big and small. Yet, as is often the case, hardships bring out the best in people, as exemplified by the thousands of frontline workers, first responders and medical professionals who are battling the exceptional commitment was also displayed by thousands of ExxonMobil employees around the world who responded to the pandemic by serving their communities. I m proud of the way they stepped up and made contributions to those in need of our products, from hand sanitizer and specialty products for protective equipment to fuel for first responders.

7 Through extraordinary efforts, we kept operations running 24/7 while achieving strong safety and reliability impact of the pandemic on our business was severe. As economies shut down, energy consumption collapsed. For the first time in memory, all of our businesses faced simultaneous lows. We adjusted our capital investment plans, reducing spending last year by more than 30 percent, and developed future plans more flexible to market conditions and focused on priority areas that will deliver the strongest returns. These include our high-performance chemical projects, refinery upgrades and, in the Upstream, our advantaged assets in Guyana, the Permian Basin, and Brazil.

8 Our recent reorganizations along value chains enabled us to reduce operating costs and improve efficiencies to better position ourselves for the future. Structural changes during the year resulted in reduced cash operating expenses of $3 billion. These savings grow to $6 billion a year by 2023 compared to We also continued to make strong progress on our plans to mitigate climate risk and position the company for success in a lower-carbon energy future. We met emission-reduction goals for methane and flaring and established new plans that are projected to be consistent with the goals of the Paris Our forward plans are expected to reduce absolute Upstream greenhouse gas emissions by an estimated 30 percent by 2025 compared to 2016, and by the end of the decade, deliver industry-leading greenhouse gas performance and align our Upstream operations with the World Bank s initiative to eliminate routine notable milestones in 2020 include.

9 O ur active Board refreshment program continued with two new directors added by the end of January 2021, which brings to six the number of independent directors added since 2015. In recent years the company has pursued additional board expertise in climate science, asset and risk management, and relevant industry experience. The average tenure for our directors is about six years, compared to an average of about eight years for companies in the S&P 500. I n Guyana, Liza Phase 2 and Payara developments progressed, and we continued exploration success with three new discoveries, increasing the recoverable resource estimate on the Stabroek Block to nearly 9 billion oil-equivalent barrels.

10 T he Chemical business set a new record for polyethylene sales, reflecting demand growth for performance packaging and strong operating performance.| LETTER FROM THE CHAIRMANII W e maintained our position as a global leader in carbon capture and storage (CCS), increasing captured carbon dioxide (CO2) to more than 120 million tonnes. This is well over twice the closest competitor and larger than the next five competitors recently, we announced the creation of a new business ExxonMobil Low Carbon Solutions to commercialize our extensive low-carbon technology portfolio and help society achieve the climate goals outlined in the Paris Agreement.