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ExxonMobil Canada Acquires Celtic Exploration Ltd., Including Liquids-Rich Montney Shale Acreage

Dateline City: 
   
           
                    CALGARY, Alberta        
       


   
           
                   
         Agreement includes 649,000 net acres in the Montney and Duvernay          shales in Alberta      

       
       

CALGARY, Alberta--(BUSINESS WIRE)--ExxonMobil Canada today announced an agreement with Celtic Exploration
      Ltd. (?Celtic?) under which an ExxonMobil Canada affiliate will acquire
      Celtic.
   
   
      Under the terms of the agreement, ExxonMobil Canada will acquire 545,000
      net acres in the liquids-rich Montney shale, 104,000 net acres in the
      Duvernay shale and additional acreage in other areas of Alberta.
   
   
      Current production of the acreage to be acquired is 72 million cubic
      feet per day of natural gas and 4,000 barrels per day of crude,
      condensate and natural gas liquids. The assets were estimated by
      Calgary-based Celtic Exploration at December 31, 2011 to include an
      estimated 128 million oil equivalent barrels of proved plus probable
      reserves, of which 24 percent are crude, condensate and natural gas
      liquids and 76 percent natural gas.
   
   
      Approximately 60 employees at Celtic Exploration will be given the
      opportunity to transition to ExxonMobil
      employment.
   
   
      Shareholders of Celtic Exploration will receive C$24.50 per share and
      half a share of a newly established company which will hold assets not
      included in the agreement with ExxonMobil Canada. These assets include
      acreage in the Inga area in British Columbia, the Grande Cache area in
      Alberta and interests in oil and gas properties located in Karr, Alberta.
   
   
      The agreement is subject to approval by Celtic Exploration?s
      shareholders and Canadian regulatory authorities.
   
   
      ?This acquisition will add significant liquids-rich resources to our
      existing North American unconventional portfolio,? said Andrew Barry,
      president of ExxonMobil Canada. ?Our financial and technical strength
      will enable us to maximize resource value by leveraging the experience
      of ExxonMobil subsidiary XTO Energy, a leading U.S. oil and natural gas
      producer which has expertise in developing tight gas, shale oil and gas
      and coal bed methane.?
   
   
      ExxonMobil Canada, a subsidiary of Exxon Mobil Corporation (NYSE:XOM),
      has a long history in Canada that dates back to the 1940s. The company
      is a leader in the Atlantic Canada offshore, where it operates the Sable
      project in Nova Scotia, is lead owner of the Hibernia project in
      Newfoundland and Labrador, where it is developing the Hebron project.
      ExxonMobil Canada has additional assets in Western and Northern Canada.
   
   
      ExxonMobil?s Canadian affiliate, Imperial Oil Limited, is not a party to
      the transaction, but may elect to participate at a later date through
      its existing agreement with ExxonMobil Canada that provides for up to
      equal participation in new Canadian upstream opportunities. Imperial Oil
      Limited has advised that it is currently evaluating this opportunity.
   
   
      CAUTIONARY NOTE
   
   
      Business plans, estimates, and other statements of future events or
      conditions in this release are forward-looking statements. Actual
      results, including closing of the proposed transaction, post-closing
      ownership structure, production rates, and resource recoveries may
      differ materially due to a number of factors including: approval of the
      transaction by Celtic shareholders; approval of the transaction by
      regulatory authorities and any conditions to such approval; the
      satisfaction of other conditions precedent provided in the acquisition
      agreements; changes in market prices and other factors affecting the
      supply of and demand for oil, natural gas, condensate, and natural gas
      liquids; changes in law or government regulation; the outcome of
      commercial negotiations; reservoir performance; timely completion of
      development projects; unforeseen technical or operating factors; and
      other factors discussed under the heading ?Factors affecting future
      results? on the ?Investors? page of ExxonMobil?s website at
      exxonmobil.com and in Item 1A of ExxonMobil?s most recent annual report
      on Form 10-K. We assume no duty to update these statements as of any
      future date. Proved plus probable reserve estimates quoted in this
      release were determined by Celtic using definitions applicable to
      Canadian reporting companies and may not be the same as proved or
      probable reserves as determined under U.S. SEC definitions. This release
      does not constitute an offer to purchase or a solicitation of an offer
      to sell any security, and does not constitute a solicitation of votes or
      proxies with respect to any security.
   
   
      About ExxonMobil
   
   
      ExxonMobil,
      the largest publicly traded international oil and gas company, uses
      technology and innovation to help meet the world?s growing energy needs.
      ExxonMobil holds an industry-leading inventory of resources, is the
      largest refiner and marketer of petroleum products, and its chemical
      company is one of the largest in the world. Follow ExxonMobil on Twitter
      at www.twitter.com/exxonmobil.
   
 
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      Contact HTML: 
   
           
                                              ExxonMobilMedia Relations, 972-444-1107                
       


      Ticker Slug: 
   
           
                          Ticker:    XOM        Exchange:    NYSE

Source: ExxonMobil Canada Acquires Celtic Exploration Ltd., Including Liquids-Rich Montney Shale Acreage

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