ConocoPhillips announces 10-year operating, financial plan at investor meeting

ConocoPhillips is hosting an analyst and investor meeting to outline details of an operating and financial plan that features durable returns and cash flow growth for decades to come, while further describing the company’s valued role in the energy transition. The plan is based on a $60 per barrel WTI mid-cycle price. Highlights of the 10-year plan include: greater than $115B of free cash flow available for distributions, representing greater than 90% of market cap, as of March 31. Durable cash flow growth with projected cash from operations and FCF compounded annual growth rate of approximately 6% and 11%. WTI FCF breakeven price of approximately $35 per barrel. Capital expenditures expected to average approximately $10B annually, resulting in 4% to 5% production CAGR at an average reinvestment rate of approximately 50%. Return on capital employed increasing over 1 percentage point annually. A strong balance sheet with gross debt reduction on track to meet previously announced $5B reduction target by 2026. Resource base of approximately 20B barrels of oil equivalent at less than $40 per barrel WTI, representing a resource life of more than 30 years at current production levels. An acceleration in the company’s greenhouse gas-intensity reduction target through 2030 from 40%-50% to 50%-60%, using a 2016 baseline.