ConocoPhillips Reports 2022 Capital Expenditures Budget; Announces Three-tier Returns Of Capital

ConocoPhillips (COP) announced its planned companywide 2022 capital expenditures of approximately $7.2 billion. The company noted that the planned 2022 capital expenditures includes $0.7 billion associated with the recent Permian transaction and are consistent on an underlying basis with the market update provided in June 2021.

Based on the preliminary capital budget, ConocoPhillips expects to deliver average full-year 2022 production of approximately 1.8 MMBOED, including expected annual production from the recent Permian transaction of approximately 200 MBOED. On a pro forma underlying basis, 2022 production estimate represents underlying low-single-digit percentage production growth from 2021.

The company has set 2022 return of capital to shareholders at approximately $7 billion, approximately 16% increase from 2021. ConocoPhillips is initiating a three-tier capital return program that will consist of an ordinary dividend tier, a share repurchase tier, and a newly authorized quarterly variable return of cash (VROC) tier.

The annualized current ordinary dividend is estimated at approximately $2.4 billion. Estimated share repurchases are approximately $3.5 billion. The VROC, of approximately $1 billion, is anticipated to be distributed ratably on a quarterly basis. The first VROC of $0.20 per share will be paid on Jan. 14, 2022, to shareholders of record as of Jan. 3, 2022.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
The TJX Companies, Inc. (TJX) said its first-quarter pretax profit margin and earnings per share, each on an adjusted basis, exceeded its plans even though sales were slightly below planned range. Adjusted pretax margin was 9.4%, excluding a 1.9 percentage point charge related to a write-down of the... Apple Inc. is delaying its latest plan to ask employees to come back to the office three days a week, but will continue with its plan of two days in office a week, Bloomberg reported. Citing an internal memo, the report also said the tech major is again requiring its staff to wear masks in common spaces, meeting rooms, hallways, and elevators, as well as at 100 US stores. The U.S. Food and Drug Administration or FDA has urged infant formula manufacturers to import infant formula products to the United States to meet the ongoing severe supply shortage. In order to further increase the availability of infant formula in the country, while protecting the health of infants, the regulator announced a guidance outlining increased flexibilities for the global manufacturers
Follow RTT