ConocoPhillips will today to reaffirm its commitment to the disciplined, returns-focused strategy it launched in 2016. The company will outline details of a compelling 2022- 2031 operating and financial plan that reflects numerous transformational activities undertaken over the past 18 months, most notably the acquisition of Concho.

"We're looking forward to providing today's market update, which comes at a defining moment for our sector," said Ryan Lance, chairman and chief executive officer. "We believe we're entering a constructive environment for the business, but we also recognize that we're in a period of evolving energy transition. ConocoPhillips is meeting this moment with a very compelling plan that is resilient and durable, but also flexible. We can and will adapt as the future plays out, all while remaining focused on delivering superior returns to shareholders through cycles. We don't believe any other company in our E&P sector offers a more investable plan for this vital business."

Today's market update includes the following highlights:

• Increasing anticipated Concho transaction-related synergies and savings to $1 billion annually;
• Reducing 2021 capital expenditures and adjusted operating cost guidance by $200 million and $100 million, respectively, due to stronger-than-projected business execution;
• Increasing 2021 planned share repurchases by $1 billion, bringing total planned distributions for the year to approximately $6 billion, or 7% of current market capitalization;
• Expected cash from operations of ~$145 billion and free cash flow of ~$70 billion over the 10-year plan period at $50 per barrel WTI based on 2020 real prices, escalating at 2% annually;
• Capital expenditures expected to average approximately $7 billion annually, resulting in approximately 3% compounded annual production growth at an average reinvestment rate of ~50%;
• Over $65 billion in estimated shareholder returns of capital across the plan period, fully funded from cash from operations;
• Return on capital employed projected to grow 1 to 2 percentage points annually, with balance sheet strength further improving throughout the plan period; and
• Progress on the company's ambition to become net-zero for operational (Scope 1 and 2) emissions by 2050.

Lance continued, "We have embraced a new imperative for the business that we call the Triple Mandate. We want to play a valued role in whatever pathway the energy transition takes by investing in the lowest cost of supply barrels, delivering competitive returns of and on capital, and achieving our net-zero emissions ambition. Since 2016, we've been on a continuous path to be the most relevant, sustainable E&P company in the business. Today's strong 10-year plan takes another step forward in that direction."

KeyFacts Energy: ConocoPhillips US country profile