Exxon in Decade-Long $20bn US Gulf Investment

ExxonMobil CEO Darren Woods told Cera Week March 6 that the US supermajor plans to invest $20bn expanding its manufacturing capacity along the US Gulf Coast during the ten-year period from 2013 to at least 2022 to take advantage of "the American energy revolution" and generate thousands of new high-paying jobs.

Exxon’s ‘Growing the Gulf’ expansion program, consists of 11 major chemical, refining, lubricant and LNG projects at proposed new and existing facilities along the Texas and Louisiana coasts. “The US is a leading producer of oil and natural gas, which is incentivising US. manufacturing to invest and grow. We are using new, abundant domestic energy supplies to provide products to the world at a competitive advantage resulting from lower costs and abundant raw materials,” said Woods.

ExxonMobil CEO Darren Woods (Photo credit: the company)

Exxon’s March 6 statement said that, according to the American Chemistry Council, chemical manufacturing is one of the top US exporting industries, accounting for 14% of US exports in 2015, and that exports of specific chemicals linked to shale gas are projected to reach $123bn by 2030. Exxon said most of its planned new chemical capacity investment in US Gulf is targeted at export markets in Asia and elsewhere.

“This is exactly the kind of investment, economic development and job creation that will help put Americans back to work,” said US President Donald Trump in a statement congratulating Exxon. Former Exxon CEO Rex Tillerson is now US Secretary of State in Trump's administration.

Mark Smedley