Darren Woods, chairman and chief executive officer of Exxon Mobil Corp.,
Brendan McDermid | Reuters
Exxon Mobil said Wednesday its expects earnings to more than double through 2027 relative to 2019 as the energy giant moves forward with a slew of cost-cutting measures.
Exxon said it’s on track to grow its earnings and cash flow by $14 billion over the next four years, as the company slashes costs, grows production, and increases sales of chemicals, lower emission fuels and performance lubricants.
The oil giant plans to cut structural costs by another $6 billion through the end of 2027, delivering $15 billion in total savings compared with 2019.
The announcement comes nearly two months after Exxon agreed to buy Pioneer Natural Resources for nearly $60 billion, or $235 a share. This is Exxon’s largest deal since it bought Mobil during the late 1990s. Pioneer is the largest producer in the Midland Basin, a section of the Permian.
After the merger closes — which is expected to do so in the first half of 2024 — the oil giant plans to increase its annual share repurchase program to $20 billion in 2024 through 2025, up from $17.5 billion in 2023.
Exxon anticipates capital expenditures in the range of $23 billion to $25 billion in 2024, and $22 billion to $27 billion annually from 2025 through 2027. Those expenditures should generate average returns of 30%, with more than 90% of the spending having payback periods of less than a decade, according to the company.
“We remain committed to providing the energy and products that raise living standards around the world while building a new business to reduce emissions in hard-to-decarbonize parts of the economy,” CEO Darren Woods said in a statement. “ExxonMobil is uniquely equipped to do both, and we’re confident that both present significant opportunities for profitable growth.”
The oil giant expects oil and gas production to be about 3.8 million oil-equivalent barrels per day in 2024, and then rise to 4.2 million bpd by 2027 driven by growth in the Permian Basin and Guyana.
Exxon is also increasing its investments in lower carbon emissions projects to $20 billion through 2027, up from $17 billion previously. The company plans to slash its own upstream greenhouse gas emissions up to 50% by 2030. The oil giant said it has already achieved half of that planned reduction.
The company is focusing on carbon capture, lithium for electric vehicle batteries, hydrogen and biofuels. Its investments in these spaces are expected to generate returns of 15%, according to the company.
Exxon is standing up a lithium drilling operation in Arkansas and expects to produce battery-grade lithium for electric vehicles as soon as 2027. The goal is to supply enough of the mineral to support the manufacture of 1 million electric vehicles by 2030.
Shares of Exxon Mobil have struggled in 2023, dropping more than 9%. The bulk of those losses has come during the fourth quarter. The stock is down 14% during that time.
T1 Energy (NYSE: TE), formerly FREYR Battery, kicks off preparations for its new solar cell factory, set to be one of the largest in the US.
T1 Energy has chosen Yates Construction as the contractor for preconstruction services and site preparations for its planned $850 million, G2_Austin 5 GW Solar Cell Facility.
The G2_Austin site is in Milam County, Texas, in the Advanced Manufacturing and Logistix Campus at Sandow Lakes.
It’s expected to create up to 1,800 new direct US advanced manufacturing jobs. Construction is on track to kick off in mid-2025, and the facility is expected to begin producing cells by the end of 2026. There are currently far fewer solar cell manufacturing sites in the US than solar module factories, according to the SEIA.
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On December 24, FREYR announced that it had closed its acquisition of China-headquartered Trina Solar’s 5-gigawatt (GW), 1.35 million-square-foot solar panel factory in Wilmer, Texas. The company renamed the factory G1_Dallas, which employs more than 1,000 people and is now fully online.
Daniel Barcelo, T1’s chairman of the board and CEO, said, “Our facilities will manufacture solar cells and modules to invigorate our economy with abundant energy. We’re excited to work with Yates and Milam County to bring American advanced manufacturing to the heart of Texas and to unlock our most scalable energy resources.”
T1 Energy says it anticipates finalizing commercial terms with Yates Construction as General Contractor.
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The EV2 is set to arrive as Kia’s smallest and most affordable electric vehicle next year. With its official debut coming up, the electric SUV was spotted driving on public roads. The electric SUV may be small, but it looks bigger in person.
Kia’s new EV2 is an affordable, small electric SUV
Kia has yet to say precisely how big the EV2 will be, but it’s expected to be around 4,000 mm (157″), or slightly smaller than the EV3 at 4,300 mm (169.3″). That’s even more compact than the outgoing Chevy Bolt EV (163.2″).
During its EV Day event in April, Kia unveiled the Concept EV2, a preview of the entry-level EV that will sit below the EV3.
Although it’s the brand’s smallest EV, Kia promises that it will feel larger when you’re inside. The EV2 sits higher than you’d expect with a wide front end, giving it a bigger presence on the road, similar to the three-row EV9.
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We got a sneak peek at Kia’s affordable EV last month after it was spotted testing on public roads in Korea, but the latest sighting gives us a closer look at the EV2 in its production form. The new video from HealerTV reveals a few details that could look a little different from the concept.
Kia’s new entry-level EV2 spotted driving in public (Source: HealerTV)
The footage shows what appears to be different daytime running lights (DRLs). When Kia unveiled the Concept EV2 in April, it featured a unique split vertical headlight design.
The EV2 spotted driving still has the split design, but both the inner and outer lights appear to be angled more inwards. It’s not a huge difference, but given most of Kia’s new EVs look almost identical to the concepts, this could be something to keep an eye on.
Prices, specs, and more
Despite being an entry-level model, the EV2 is still equipped with advanced technology and features, including vehicle-to-load (V2L) capability, which allows it to power a campsite, home appliances, and other electronics. With OTA updates, it will only get smarter and more advanced over time.
The interior will feature Kia’s new ccNC (connected car Navigation Cockpit), which features dual 12.3″ driver cluster and touchscreen navigation screens in a panoramic display.
Like its other new EV models, it’s also expected to include a 5″ climate control display for nearly 30″ of screen space.
Kia plans to launch the EV2 next year in Europe and “other global regions.” For those in the US, sorry to disappoint, but it’s not expected to make the trip overseas. We do have the EV4, Kia’s first electric sedan, to look forward to.
Kia Concept EV2 (Source: Kia)
We will learn prices and final specs closer to launch, but given it will sit below the EV3, it will likely be cheaper than that.
The EV3 starts at £32,995 ($44,800) in the UK and €35,990 ($41,600) in Europe. Kia’s CEO, Ho-Sung Song, told Autocar in 2023 that the company aims to launch the EV2 at around £25,000 ($32,000) in the UK. With new battery technology and other advancements, it could be even more affordable when it arrives next year.
It’s not a Kia or Hyundai, but the Musso EV pickup truck is shaking up the Korean Market. After the first models left for Europe, the company’s CEO is already saying it will be a “driving force” as it goes on a global conquest.
Korea has a new EV pickup that’s going global
During an event celebrating the first exports of its new Musso EV and Torres HEV pickup trucks, KG Mobility’s CEO, Kwak Jae-Seon, said the new models “have already received favorable reviews and garnered much attention from reporters and sales agents.”
KG Mobility (KGM) expects them to serve as “a driving force” as it expands exports into new global markets. The first Ro-Ro (Roll-on/Roll-off) hit the seas on June 12 carrying 983 vehicles, 184 Musso EVs, and 799 Torres HEVs.
The vessel is headed for Europe, where the first models will be sold in Germany, Spain, Norway, Hungary, and other markets, starting in August.
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Jae-Seon, who personally drove the Musso EV onto the car carrier, said during the event that pickup is now on a “full-scale conquest” as it rolls out globally.
KG Mobility Musso EV and Torres HEV pickup launch event (Source: KG Mobility)
KGM’s EV pickup has already generated quite the buzz in Korea, beating Hyundai and Kia to the first fully electric pickup truck.
After launching the Musso EV pickup in Korea in March, the company announced it had secured over 3,200 orders in two weeks. The Special Edition model sold out in an hour and a half.
KGM promotes the vehicles as “a new alternative to mid-size SUVs” that’s more useful as an everyday ride with more interior space.
Measuring 5,160 mm long, 1,920 mm wide, and 1,740 mm tall, the electric pickup is about the size of a Ford Ranger (5,225 mm long, 1,910 mm wide, and 1,866 mm tall).
KGM Musso EV electric pickup truck interior (Source: KGM)
The infotainment system looks a lot like new Hyundai and Kia EVs with a dual 12.3″ driver cluster and touchscreen navigation screens in a panoramic display.
It also comes with a Land Rover-like ClearSite Ground View camera, allowing you to see what’s beneath you through several strategically placed cameras.
The electric pickup is powered by an 86.6 kWh LFP battery, providing a range of nearly 250 miles (400 km). With up 200 kW fast charging, it can recharge to 80% in 24 minutes.
KGM’s Musso EV is available in both single (FWD) and dual-motor setups. The FWD version features a 152.2 kW front motor, producing up to 207 horsepower, while the AWD model boasts up to 413 horsepower. It can tow almost 4,000 lbs (1.8 tons) and includes a “trailer sway function” to stabilize the vehicle while towing.
The Musso EV pickup starts at 48 million won, or about $35,000. With incentives, KGM says the purchase price is closer to 39.62 million won ($29,000).
With more monthly exports in May than it has in 10 years, KGM expects the Musso EV pickup to accelerate the momentum.
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