Exxon Mobil to invest $50 billion in US over 5 years, citing tax cuts

Exxon Mobil, the globe’s largest publicly traded oil company, on Monday said the item plans to invest $50 billion within the United States over the next a few years.

Darren Woods, chairman in addition to CEO of Exxon, said in a blog post in which the investment will be partly due to recently passed corporate tax cuts. The announcement puts Exxon on the board with several additional companies in which have announced employee bonuses in addition to investments following President Donald Trump in addition to GOP lawmakers’ tax overhaul.

“These investments are underpinned by the unique strengths of our company in addition to enhanced by the historic tax reform recently signed into law,” Woods said within the blog post.

“These positive developments will mean more jobs in addition to economic expansion across the United States in a myriad of industries.”

As part of the investment, Exxon plans to boost production within the Permian basin, a shale oil region in western Texas in addition to eastern completely new Mexico where the low cost of production has attracted drillers. Exxon said the item will expand its operations, make improvements to infrastructure in addition to construct manufacturing sites, activities in which the item expects will generate thousands of completely new jobs.

Exxon doubled its holdings within the Permian last year through the acquisition of companies owned by the Bass family. The $5.6 billion acquisition ranked as the second largest deal within the U.S. oil in addition to gas exploration in addition to production space, according to Houston-based advisory firm PLS.

Woods said the investment announced Monday comes on top of billions the item earmarked last year to projects on the U.S. Gulf Coast.

Exxon in March said the item could spend $20 billion to construct chemical, refining, lubricant in addition to liquefied natural gas facilities along the coast. The company said at the time the item aimed to create 12,000 permanent jobs on the back of the investment.

Woods said on Monday the company could expand its facilities on the Gulf Coast, pending an evaluation of the impact of lower tax rates on several projects currently within the planning stage.

“These are quality investments for our shareholders in which are made even better by tax reform,” Woods said.

“These are all possible because of the resource base developed by our industry along with sound tax in addition to regulatory policies in which create a pro-growth business climate here within the U.S.”

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