Chemical earnings were $1,202 million, down $149 million from the third quarter of 2006 due to lower margins partly offset by favorable tax items. Prime product sales of 6,729 kt (thousands of metric tons) in the third quarter of 2007 were down 23 kt from the prior year.
Corporate and financing expenses of $92 million were flat with 2006. During the third quarter of 2007, Exxon Mobil Corporation purchased 90 million shares of its common stock for the treasury at a gross cost of $7.8 billion.
These purchases included $7.0 billion to reduce the number of shares outstanding, with the balance used to offset shares issued in conjunction with the company's benefit plans and programs.
Shares outstanding were reduced from 5,546 million at the end of the second quarter to 5,464 million at the end of the third quarter. Purchases may be made in both the open market and through negotiated transactions, and may be increased, decreased or discontinued at any time without prior notice.
Upstream earnings were $18,293 million, a decrease of $1,717 million from 2006 due to lower natural gas realizations and higher operating expenses, partly offset by higher crude oil realizations and favorable sales mix effects.
On an oil-equivalent basis, production decreased 2% from last year. Excluding the impact of entitlements, divestments, OPEC quota effects and Venezuela, production was up nearly 3%.
Liquids production of 2,649 kbd decreased by 33 kbd from 2006. Higher production from projects in Africa and Russia was offset by mature field decline and reduced entitlements. Excluding the impact of entitlements, divestments, OPEC quota effects and Venezuela, liquids production increased 5%.
Natural gas production of 9,043 mcfd decreased 302 mcfd from 2006. Lower volume from mature field decline was partly offset by projects in Qatar, Europe, Canada and Malaysia.
Earnings from U.S. Upstream operations for 2007 were $3,595 million, a decrease of $521 million. Earnings outside the U.S. were $14,698 million, $1,196 million lower than 2006.
Downstream earnings were a record $7,306 million, an increase of $812 million from 2006 reflecting stronger marketing margins, refinery optimization activities and the sale of the Ingolstadt refinery, partly offset by lower refining margins. Petroleum product sales of 7,090 kbd decreased from 7,180 kbd in 2006.
U.S. Downstream earnings were $3,498 million, up $193 million. Non-U.S. Downstream earnings were $3,808 million, $619 million higher than last year.
Chemical earnings were a record $3,451 million, up $311 million from 2006 driven by higher margins. Prime product sales were 20,431 kt, down 92 kt from 2006.
Corporate and financing expenses of $100 million decreased $294 million, mainly due to favorable tax items. Gross share purchases in 2007 were $23.9 billion which reduced shares outstanding by 4.6%.
ExxonMobil Chemical Technology Licensing LLC
marketing@alchempro.com
