The "high-grading" of Exxon's asset base will enable it to "manage future commodity price cycles while working to maintain a reliable dividend."
The company disclosed that further capital spending cuts and possible writedowns of assets are ahead as it battles the pandemic-induced oil bust.
“COVID-19 has significantly impacted near-term demand, resulting in oversupplied markets and unprecedented pressure on commodity prices and margins."
Exxon's cut in 2020 capital spending is the largest any oil major has made in response to the coronavirus-driven slowdown.
The energy giant posted another earnings miss as production fell 7% and it undertook an "enormous amount of planned maintenance."
In the first quarter, the benefits of higher oil prices were offset by weakness in Exxon's chemicals and refining businesses.
Oil and natural gas production dropped by almost 1% in Q2, adding to the challenges facing new CEO Darren Woods.
"Financial results for the year were negatively impacted by the prolonged downturn in commodity prices and the impairment charge," CEO Darren Woods says.
