Exxon Mobil Plans Overhauls at Texas Refinery
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 day ago
0mins
Should l Buy XOM?
Source: seekingalpha
- Major Overhaul Plans: Exxon Mobil is set to conduct significant overhauls at its 612,000 bbl/day Beaumont refinery in Texas, planning to shut down a 60,000 bbl/day coker in May for maintenance that will extend into June, indicating the company's commitment to maintaining production efficiency through equipment upkeep.
- Gasoline Production Shutdown: Additionally, the company plans to close a 120,000 bbl/day fluid catalytic cracker (FCC) in December, along with two hydrotreaters, with maintenance lasting into January, which could impact short-term gasoline supply and subsequently affect market prices.
- Refinery Capacity Impact: The Beaumont refinery ranks as the third largest in the U.S., with its FCCU accounting for 3.3% of the Gulf Coast's FCCU capacity and the coker capacity representing 7.4%, meaning this overhaul will significantly impact overall refining capacity and could lead to regional supply tightness.
- Market Reaction Expectations: With the announcement of the overhaul plans, the market may express concerns regarding Exxon Mobil's short-term production capabilities, although in the long run, maintenance and upgrades are expected to enhance refining efficiency and profitability.
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Analyst Views on XOM
Wall Street analysts forecast XOM stock price to fall
19 Analyst Rating
12 Buy
7 Hold
0 Sell
Moderate Buy
Current: 156.220
Low
114.00
Averages
132.17
High
158.00
Current: 156.220
Low
114.00
Averages
132.17
High
158.00
About XOM
Exxon Mobil Corporation is an energy provider and chemical manufacturer. The Company’s principal business involves exploration for, and production of, crude oil and natural gas; the manufacture, trade, transport and sale of crude oil, natural gas, petroleum products, petrochemicals and a wide variety of specialty products; and pursuit of lower-emission and other new business opportunities, including carbon capture and storage, hydrogen, lower-emission fuels, Proxxima systems, carbon materials, and lithium. Its Upstream segment explores for and produces crude oil and natural gas. The Energy Products, Chemical Products, and Specialty Products segments manufacture and sell petroleum products and petrochemicals. Energy Products segment includes fuels, aromatics, and catalysts and licensing. Chemical Products segment consists of olefins, polyolefins, and intermediates. Specialty Products segment includes finished lubricants, basestocks and waxes, synthetics, and elastomers and resins.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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