Exxon Oil And Gas Industry - 1807 Words

Company Description Exxon Mobile is based out of Irving Texas. Exxon Mobil is one of leaders in the Oil Gas industry. As a leader in the Oil and Gas with capitalization of 100 Billion or more, they are the world s largest publicly traded international oil and Gas Company (exxonmobile.com). â€Å"They are an integrated Oil Gas company. They are engaged in the exploration and production refining and marketing of Oil Gas. The company is also a major manufacturer and marketer of commodity petrochemicals. Including olefins, aromatics, polyethylene, and polypropylene plastics and a wide variety of specialty products. They conduct their business across the globe. As an integrated Oil and Gas company they operate through all three segments of†¦show more content†¦The US oil and gas exploration and production industry consists of about 5,000 companies with combined annual revenue of about $290 billion and is expected to have a high-growth rate over the next two years. Key growth drivers include rising demand for energy (Hoover’s Company Profiles).† The companies involved also deal with many different factors in production, manufacture and distribution; including weighing the different global economic, political and environmental factors that are tied to profit. The fortunes of oil and gas companies are tied to overall supply and demand issues that are reflected in oil and gas prices. Price changes affect industry sectors differently. High prices for oil and natural gas benefit the upstream (exploration and production) companies but hurt the downstream (refiners) in the form of raw material costs. This affects the overall strength and profit of these companies, but many Oil Gas companies are considered integrated, which means they are involved in all three sectors of the industry. The business diversification between the upstream and the downstream tends to mitigate the effects of oil and gas price fluctuations. Because they are usually more le veraged to the upstream, such companies general benefit from higher prices for oil and natural gas. Exxon Mobil Corporation engages in the exploration and production of crude oil and natural gas, and manufacture of petroleum products. The company