Exxon Mobil Corporation (ticker: XOM, exchange: New York Stock Exchange (.N))
News Release -
ExxonMobil Announces Start of Kizomba CNewest Milestone in Company's Effort to Increase World Energy Supplies
IRVING, Texas, Jan 09, 2008 (BUSINESS WIRE) -- Exxon Mobil Corporation (NYSE: XOM) announced today that its
subsidiary, Esso Exploration Angola (Block 15) Limited (Esso Angola),
has started production from the Kizomba C development, designed to
develop 600 million barrels of oil from the Mondo, Saxi and Batuque
fields in approximately 2,400 feet (800 meters) of water more than 90
miles (145 kilometers) off the coast of Angola. The Kizomba C
Development has come on stream with the Mondo field. Saxi and Batuque
are expected to come on stream in 2008. Mondo production is
anticipated to plateau at a peak rate of 100,000 barrels a day, and
plateau production from the three fields (Mondo, Saxi and Batuque) is
anticipated to reach a total of 200,000 barrels a day.
The Kizomba C development includes two floating production,
storage, and offloading (FPSO) vessels and 36 subsea wells making it
the largest subsea development operated by ExxonMobil affiliates
worldwide. This is another good example of ExxonMobil's project
management capabilities delivering superior results. ExxonMobil's
"design one, build multiple" strategy resulted in the Kizomba C Mondo
FPSO being completed in record time of 23 months from the project
approval to first oil.
"The startup of Kizomba C is another important step in our work
with Sonangol to develop Angola's significant petroleum resources.
Through timely and cost-efficient development of this important
resource, we were able to provide additional volumes to meet the
world's ever-growing energy demand," said Mark Albers, senior vice
president of Exxon Mobil Corporation. "This project is another example
of our commitment to strengthen local business capability and
integrate it with our deepwater execution experience and capabilities
in a manner that maximizes the value of the resource for our
shareholders and the Angolan government."
The Kizomba C development continues Esso Angola's tradition of
strengthening and expanding the capabilities of Angolan companies.
Nearly $1.5 billion has been spent on local goods and services for
Kizomba C including contracts for in-country fabrication, logistics
support, training, and development of Angolan personnel. Angolan
expenditures have increased significantly over time as local
companies, working with ExxonMobil and Esso Angola, have developed the
capabilities to perform work required for such complex projects.
Angolan suppliers played an instrumental role in the implementation of
the project by providing subsea manifolds, helidecks, laydown modules,
umbilicals, anchor piles and specialized turret components that were
successfully fabricated in Angola. The fabrication of the high
strength steel turret components was the first of its kind in Angola.
These national content efforts have resulted in sustained growth of
Angolan capacity and expertise needed to support future oil and gas
The Kizomba C FPSOs are the fourth and fifth offshore production
hubs on Angola Block 15. The Kizomba C Mondo project brings the total
of ExxonMobil worldwide startups to seven within the last 12 months.
These significant projects such as Marimba North and Rosa in Angola;
Waddenzee in Netherlands; Ormen Lange, Statfjord Late Life in Norway;
and RasGas Train 5 in Qatar, are expected to deliver production rates
in excess of 400 thousand barrels a day of oil and more than 3.5
billion cubic feet of daily gas to world energy markets.
With global energy demand expected to increase by approximately
one-third by 2030 versus today, and new supplies increasingly found
far from the world's major consuming nations, Kizomba C and these
other new projects are vital links in an increasingly interdependent
global energy supply network.
In addition to Esso Angola (operator, 40 percent), other
participants in Block 15 are BP Exploration (Angola) Limited (26.67
percent), ENI Angola Exploration B.V. (20 percent) and Statoil-Hydro
Angola (13.33 percent). Sonangol is the Concessionaire.
CAUTIONARY STATEMENT: Estimates, expectations, and business plans
in this release are forward-looking statements. Actual future results,
including production rates and sales volumes; project plans,
schedules, and capacities; and commercial arrangements could differ
materially due to changes in long-term oil and gas price levels or
other market conditions affecting the oil and gas industry; political
or regulatory developments; reservoir performance; timely completion
of development projects; technical or operating factors; the outcome
of commercial negotiations; and other factors discussed under the
heading "Factors Affecting Future Results" posted in the Investor
Information section of our website (www.exxonmobil.com). References to
quantities of oil and gas include volumes that are not yet classified
as proved reserves but that we believe will be produced in the future.
SOURCE: Exxon Mobil Corporation
Kimberly Brasington, 713-656-4376