Here's the way XOM is taking proactive steps to enhance air quality through CCS

ExxonMobil's Commitment to Carbon Capture and Storage

Exxon Mobil Corporation (XOM) stands as a major player in the energy sector, with a substantial share of its income coming from upstream activities. As the global focus intensifies on reducing carbon emissions and improving air quality, the demand for cleaner energy sources is on the rise. To address these challenges, ExxonMobil is significantly increasing its investments in carbon capture and storage (CCS) technologies.

Recent CCS Developments

In July 2025, XOM launched its first CCS initiative by transporting and storing carbon dioxide from CF Industries’ Donaldsonville facility. The company has also started capturing CO2 at its second commercial CCS site, the New Generation Gas Gathering (NG3) location in Gillis, Louisiana. Looking ahead, ExxonMobil is developing two more CCS projects, which are slated to begin operations in 2026.

ExxonMobil gathers gas produced in factories throughout East Texas and Louisiana, sending it to the NG3 site for processing. At this facility, the company aims to extract approximately 1.2 million tons of CO2 annually from natural gas before it is delivered to Gulf Coast markets. With contracts covering 3.2 million tons per year across its two active projects, ExxonMobil has secured nearly one-third of its total CCS capacity.

Equinor and Chevron: Advancing Air Quality Through CCS

Equinor ASA (EQNR) and Chevron Corporation (CVX) are also making strides in air quality improvement by implementing CCS solutions. Equinor and Chevron are collaborating with TotalEnergies SE on the Bayou Bend CCS project in South Texas.

Equinor has obtained permits that allow access to carbon storage capacity up to 60 million tons per year. The company aims to develop CO2 transport and storage infrastructure capable of handling between 30 and 50 million tons annually by 2035.

Chevron is assessing a plan to capture CO2 from its Pascagoula refinery and store it deep underground. Since launching its Gorgon CCS project in mid-2019, Chevron has injected over 10 million tons of CO2 into geological formations.

ExxonMobil: Stock Performance and Financial Overview

Over the past year, ExxonMobil’s stock has climbed 37.2%, outpacing the 31.8% growth seen in the broader industry composite.

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From a valuation perspective, ExxonMobil is trading at an enterprise-value-to-EBITDA (EV/EBITDA) ratio of 9.9 for the trailing twelve months, which is higher than the industry average of 6.19.

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The Zacks Consensus Estimate for ExxonMobil’s earnings in 2026 has remained steady over the last week.

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Currently, ExxonMobil holds a Zacks Rank #3 (Hold). For a full list of Zacks #1 Rank (Strong Buy) stocks, click here.

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