(Alliance News) - Exxon Mobil Corp announced Thursday it will boost its share buyback program to USD50 billion, rebuffing calls from the White House to steer extra cash towards increasing energy production.
The US oil firm, which enjoyed record profits in 2022 after enduring deep losses during the darkest days of Covid-19, said it plans to maintain its annual capital budget of USD20 billion to USD25 billion through 2027.
Citing the need "to meet global demand," ExxonMobil plans to be on the higher end of the range in 2023, spending between USD23 billion and USD25 billion.
But the company will be maintaining a "disciplined" approach overall, it said in a news release.
ExxonMobil now plans USD50 billion in share buybacks through 2024, up from a prior USD30 billion plan.
"Our five-year plan is expected to drive leading business outcomes and is a continuation of the path that has delivered industry-leading results in 2022," said ExxonMobil Chief Executive Darren Woods.
US President Joe Biden has repeatedly called on ExxonMobil and other oil companies to boost drilling ventures in response to higher commodity prices in the wake of Russia's invasion of Ukraine.
In October, Biden criticized Woods' defense of buybacks, which the ExxonMobil CEO said fulfilled a call from politicians to return excess cash to the American people.
Biden said on Twitter that "giving profits to shareholders is not the same as bringing prices down for American families."
source: AFP
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