In a filing with the SEC, Exxon Mobil said that would take a write-down of $18 billion to $20 billion on its upstream assets in the fourth quarter.
The energy company said quarter-over-quarter upstream charges would affect its fourth quarter results even amidst improving gas and liquid prices.
In the filing, ExxonMobil said that improved gas prices will boost earnings by $200 million to $600 million. It also mentioned that upstream liquid-fuels pricing could increase earnings by as much as $400 million. Margins in its chemicals business could see an increase between $200 million and $400 million.
On the other hand, the company mentioned that downstream refining margins could range between a negative $100 million to a positive $100 million increase while mark-to-market derivatives could negatively affect earnings by $100 million to $300 million.
However, ExxonMobil said that the list of the takeaways it is providing is not comprehensive, and said that it "may not account for all adjustments and charges required to fully reflect the changes in industry conditions."