Darren Woods: And just maybe to emphasize the point a third time that Kathy made, the mandate to the businesses is find advantaged projects that position us ahead of competition and deliver high returns, high value. And that’s the mandate they’ve been given. And we will fund those opportunities as they come forward. I think what you see in terms of the — what limits the investment is the ability, those opportunities — to manifest those opportunities. And I think it’s the challenge that we give our organization to only fund the things that we feel confident are robust to a very low price environment, are well ahead of other companies and tap into what I would say are the fundamental — long-term fundamentals of the market. I think as we find those things and the organization is very focused on developing those opportunity set, we’ll fund them because that’s how you generate long-term value for the corporation and our shareholders.
Josh Silverstein: Great. Thanks guys.
Operator: We’ll go next to Neal Dingmann with Truist Securities.
Neal Dingmann: Good morning. Thanks for the time. My question is on OFS costs, just your thoughts, both domestically and internationally for the remainder of the year and into 2024, how you’re thinking about either inflation or deflation?
Kathy Mikells: Yes. I mean, the way that we’re thinking about inflation and whether it’s oilfield services costs or other costs across the business, I’d say we’ve gone to a point where we’re actually starting to see inflation come off in certain cost categories. If you think about some of the chemicals that we would use in unconventional, things like sand, what we would call tubular goods, which would include piping and valves and those types of things, we’re starting to see some deflationary pressure now. As it relates to things where labor is a high component of the cost, I would say, we’re not yet necessarily seeing that deflationary pressure coming through yet. But overall, I’d say it’s probably too early to see much of that come through the second half of the year.
But as we’re looking forward into 2024, I’d say we fundamentally feel like inflation is going to come off as we’re looking forward, because we’re starting to see those signs across multiple categories now throughout the business.
Neal Dingmann: Very helpful. Thank you.
Operator: We’ll go next to Paul Cheng with Scotiabank.
Paul Cheng: Thank you. Good morning, guys.
Darren Woods: Good morning, Paul.
Paul Cheng: Thank you. You [indiscernible] to spend $17 billion in the low carbon business through 2027. Denbury sale acquisition is about 30%. And you’re also saying that you’re seeing a lot more opportunities. So should we interpret that your $17 billion that number, we’ll need to — will increase perhaps quite substantially?
Darren Woods: Yes. Thanks, Paul. I think as you rightly point out, the Denbury acquisition was not part of the $17 billion. And maybe just a little bit of perspective on that, given the we’re just starting that business up, as you can imagine, very early and the opportunity set and progressing the opportunity set. I think Dan and his team in the Low Carbon Solutions business have made tremendous progress in bringing those opportunities to bear and manifesting contracts with customers as we’ve talked about with the three big customers that we now have and demonstrating that we can decarbonize some of these hard-to-decarbonize industries that don’t have a lot of good alternatives. We’ve also got a very significant investment opportunity in Baytown to bring on the world’s largest hydrogen plant.
And then we’ve got opportunities for low carbon ammonia associated with that. So I think a pretty robust portfolio. And with the announcements of the deals that we’ve got to date, the commercial deals that we struck with the announcement of Denbury, I think a lot of recognition and interest by outside potential customers that there’s a real opportunity here and that ExxonMobil provides a real solution. So that’s the context. I would say the $17 billion as we — that was — looking at a portfolio of opportunities and then trying to assess how those — how quickly those opportunities would manifest themselves in the capital that’d be required to do that, we’re continuing that work. There’s a lot — and so as we continue to develop and make progress on these projects, some of the capital becomes more discrete, and we can see it a lot clearer, other deals move out.
