Approximately 80% of the company’s 2008 total authorized capital program will be allocated to its exploration and production segment. The refining and marketing segment will receive about 18%, with the remaining being spent in the emerging businesses and corporate unit.
The exploration and production unit’s 2008 capital budget is expected to be $11 billion. The capital budget for refining and marketing is approximately $2.8 billion, while the emerging businesses and corporate unit accounts for approximately $0.5 billion. The company has allocated more than $150 million for research efforts focused on the development of unconventional oil and gas resources and the development of new energy sources.
Jim Mulva, chairman and CEO, said: Our 2008 planned capital program enables us to continue pursuing strategies for value-generating growth. The business environment remains challenging, with inflation in materials and services impacting both project investment and day-to-day operating costs.
