Exxon Mobil may shed $25B in assets
The asset sales could be the largest in a decade
Exxon Mobil, the world's biggest energy company, is close to shedding up to $25 billion in assets, according to an exclusive report from Reuters, citing banking sources.
Cash from any sale, which could be the biggest in a decade, would help narrow the company's projects globally and in the U.S.
Shares rose Thursday, along with rivals.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| XOM | EXXON MOBIL CORP. | 117.83 | -0.23 | -0.19% |
| CVX | CHEVRON CORP. | 162.21 | +0.28 | +0.17% |
| BP | BP PLC | 28.99 | -0.32 | -1.09% |
Exxon Mobil could sell oil and gas assets in Europe and shift its focus to "Guyana, Mozambique, Papua New Guinea and the United States," Reuters reported.
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The energy giant has already started shedding non-core assets, according to CEO Darren Woods.
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"The competitiveness of our portfolio was further enhanced with the divestment of non-strategic assets, reaching almost a third of our 2021 objective of $15 billion," he said in the company's third-quarter earnings release earlier this month.
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Shares of Exxon are little changed this year, compared with a 19 percent jump in the Dow Jones Industrial Average, further evidence investors are pushing for actions that could improve the stock performance.
When asked about the report, Exxon tells FOX Business; "As for which assets are being marketed, as a matter of practice we do not comment on speculation or rumor."
The company did point out that in addition to divestitures mentioned earlier this month, during the March 2019 investor day presentation it was highlighted that asset sales are anticipated to reach $25 billion by 2025.
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*The story has been updated to include the statement from Exxon Mobil on 11/21/19.