To The Moon

Exxon stepping back from Europe, to invest more in U.S., Woods says

Exxon Mobil $Exxon Mobil(XOM)$ is reviewing its activities in Europe in view of new windfall profits taxes as it plans to spend more in the U.S., CEO Darren Woods said Tuesday at the CERAWeek by S&P energy conference in Houston.

The CEO slammed Europe's windfall profit tax on oil and gas producers, saying it drives away investment and undermines energy transition efforts, while praising the Inflation Reduction Act in the U.S.

The tax would wipe out years of profit from recent refining investments, and means Exxon (XOM) expects to pull back future spending in Europe in favor of the U.S., Woods said.

Such policies have created unintended consequences such as countries burning more coal to meet consumers' energy needs when supplies fell short after the Ukraine war started, the CEO said.