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Exxon Slashes Drilling Budget to 10-Year Low Amid Oil Slump

  • Weakest annual performance since '02 prompts retrenching
  • World's top oil super-major also curtails share buybacks
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Exxon Mobil Corp. is cutting its drilling budget to a 10-year low and halting share buybacks after last year’s belt-tightening failed to shield the world’s biggest oil explorer from crashing energy markets.

On the heels of its smallest annual profit since 2002, Exxon said it’s curbing its spending on rig leases, floating oil platforms, gas terminals and other projects by 25 percent this year to $23.2 billion, according to a statement on Tuesday. That represents the leanest spending plan since 2007, the second year on the job for Chairman and Chief Executive Officer Rex Tillerson. Share buybacks that cost the Irving, Texas-based company half a billion dollars during the final three months of 2015 also have been suspended.