October 28, 2016 / 12:32 PM / a year ago

BRIEF-ExxonMobil to perform assessment of major long-lived assets in light of upstream weakness

Oct 28 (Reuters) - Exxon Mobil Corp :

* In light of continued weakness in upstream industry, company will perform assessment of major long-lived assets, similar to exercise undertaken in 2015

* Assessment of major long-lived assets to include North America natural gas assets, certain other assets across remainder of company’s operations

* If average prices seen during first 9 months of 2016 persist for remainder of year, certain quantities of oil will not qualify as proved reserves at year-end 2016

* If average prices seen during first 9 months persist, projected end-of-field-life for estimating reserves to accelerate for some liquids, natural gas operations in North America

* Average prices seen during first nine months persisting could result in a reduction of proved reserves at year-end 2016

* Oil quantities such as those associated with Kearl oil sands operations in Canada will not qualify as proved reserves at year-end if average prices seen in first 9 months persist

* Quantities that could be required to be de-booked as proved reserves on SEC basis are about 3.6 billion barrels of bitumen at Kearl and about 1 billion oil-equivalent barrels in other North America operations

* Do not expect de-booking of reported proved reserves under SEC definitions to affect operation of underlying projects or to alter outlook for future production volumes Source text for Eikon: Further company coverage:

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