Demand has certainly been sluggish,off 2-2.5%,Exxon Mobil CEO Rex Tillerson observed.Globally,demand is about where we expected it to be.Part of what we're seeing is,the supply fundamentals are very strong now.
Our move into XTO Energy was recognition on our part of how significant unconventional resources are.We have to go out,have access to acreage and drill so we can support the economy.We spend in operating costs over a billion dollars a day.
Two-thirds of the remaining oil and 40% of natural gas lies under federal land we have no access to.The key issue is,the government controls access.
All we're looking for is tax treatment that's equal across all industries.Loopholes and subsidies are patches to fix a defect in the tax system.Let's clean all that up.
I'm not as optimistic as I was six months ago.I think the economy is gonna be sluggish in this country.Globally,we're gonna have positive growth,but it's not gonna be as robust as we had hoped.
Other governments also control access to resources.The difference is,they ask how can we get this drilling done,Rex Tillerson remarked bitterly.
Exxon Mobil recently signed an agreement with Russian oil titan Rosneft on a joint venture for exploration and production in Russia and globally.The Strategic Cooperation Agreement was signed on August 30 in Sochi,Russia in the presence of Russian Prime Minister Vladimir Putin and Mr.Tillerson.The two companies have been working together for at least 15 years.
Exxon Mobil(XOM)
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