Managing socioeconomic impacts

Our goal is to contribute to the social and economic progress of the communities where we operate worldwide. We believe respecting human rights, managing our impacts, and making valuable social investments are essential to our business success. And we are dedicated to running safe and environmentally responsible operations.

Impact identification and assessment

Our projects and operations around the world provide socioeconomic benefits to the communities where we operate and beyond. While there are inherent risks in any development or operation, we aim to avoid them, reduce them to acceptable levels, or remedy the impacts.

We use core processes and internal frameworks to manage our operations. Our Operations Integrity Management System (OIMS), for example, with its integrated risk management system, helps us to identify, assess, manage, and monitor environmental and socioeconomic impacts, risks, and opportunities throughout the life cycles of our assets. 

We use our Environmental Aspects Guide to identify and assess significant environmental and socioeconomic aspects, in line with our Environment Policy. Environmental aspects are activities, products, or services that can interact with the environment. This also covers the “human environment,” which includes social and economic aspects beyond just climate and nature.

Our processes include:

• Environmental Aspects Assessment (EAA).
• Project Environmental Standards (PES) including our Socioeconomic Management Standard.
• Environmental, Socioeconomic, and Health Impact Assessment (ESHIA).
• Environmental, Socioeconomic, and Health Management Plans. 

We engage with local communities and stakeholders to understand the local socioeconomic setting and incorporate feedback, data, and other due diligence information into these processes. We periodically update our assessments and plans to reflect changes in operational complexity or socioeconomic sensitivities. When needed, we adjust our management plans accordingly.

The ESMP was developed through extensive consultation with stakeholders and is periodically reviewed based on further stakeholder consultation. It includes environmental and social monitoring, mitigation, and management measures identified in the PNG LNG Environmental Impact Statement, and lessons learned from the project’s construction phase. It also incorporates OIMS, and international standards such as International Finance Corporation Performance Standards, and the Equator Principles.

The ESMP consists of three environmental and seven social management plans covering all PNG LNG facilities. Production ESMP requirements apply during normal operating conditions, as well as in reasonably foreseeable abnormal operating conditions or emergency situations. More information can be found in the PNG LNG Environmental page. 

Community engagement and grievance management

We believe in meaningful engagement with communities to build positive, long-term relationships. We regularly consult with local groups and individuals to ensure their voices are heard and their concerns received and considered. Our engagement process is designed to be locally and culturally appropriate. We provide accessible and inclusive channels for exchanging information. This includes activities like open houses, community gatherings, and individual meetings.

By integrating results of these discussions into our decisions, we aim to avoid or reduce potential impacts on communities. This approach helps us enhance benefits, support effective investments, avoid delays, and resolve issues locally.

Grievance management

Our grievance-management process offers platforms for individuals and communities to raise concerns. Depending on the location and nature of our activities, the process may include direct, in-person, and electronic engagement and the use of third-party proxies such as civil society organizations and nongovernmental associations. We have dedicated personnel to map, track, analyze, respond to, and resolve community grievances promptly and in a way that supports confidentiality and non-retaliation.

Our grievance-management approach involves five core steps:

1. Publicize the process and support accessibility for stakeholders.
2. Receive, register, and acknowledge grievances, respecting confidentiality.
3. Review and investigate with the help of external input and qualified personnel.
4. Develop resolution options and respond to or close out grievances.
5. Monitor and evaluate outcomes.

Our practices are informed by the guidance of International Finance Corporation and Ipieca. Individual processes may be complex or simple, driven by the characteristics of each location, type of activity, local sensitivities, potential impacts, and other factors. Our key performance indicators reflect these attributes.

Managers across business lines steward programs in their areas. They are supported by community relations and subject matter experts. Management endorses and monitors these programs. This includes regular reviews of stakeholder reports, grievance summaries, and project responses.

For more information on our stakeholder engagement and grievance-management processes, see the section on Human Rights.

In practice: Environmental justice in the U.S.

We are part of the communities where our employees live and work, surrounded by their friends, families, and neighbors. Their lived experiences reinforce our belief that every community has a unique culture and history that should be respected.

We believe everyone, regardless of race, color, national origin, or income, deserves to be treated fairly. And we understand the importance of our activities to the communities where we operate and to their social and economic progress.

In places like Baytown, Beaumont, and Baton Rouge, communities have grown up around us for more than a century.

Built along the banks of the Neches River in 1903, ExxonMobil’s Beaumont operations have developed into an integrated petrochemical manufacturing complex and one of the largest refineries in the U.S. Since the early days of the Spindletop oil boom, ExxonMobil in Beaumont has contributed to the economic and social landscape of Southeast Texas.

Recent highlights include:

• Over $355,000 in contributions to local education providers in 2025 to provide funding, school supplies, technology equipment, host STEM events, fund scholarships, and more.
• Mentoring more than 70 high-school seniors in our 409 Energy Scholars program since it began in 2022. This two-week summer immersive learning program gives students the opportunity to experience STEM careers firsthand.
• Collaborating with Workforce Solutions of Southeast Texas in 2025 to host 10 teachers for a four‑day externship in which teachers learn about the education pathways and skills students need for industry careers.
• Announcing a 10-year, $10 million grant from ExxonMobil to the University of Texas MD Anderson to support Be Well^_TM Beaumont in 2025, following success of the Be Well^_TM Baytown initiative launched in 2016.
• In early 2025, ExxonMobil Beaumont announced a scholarship for graduating high school seniors with ties to its fenceline neighborhoods to pursue a Process Operating Technology degree at Lamar Institute of Technology (LIT). The scholarship will cover the cost of a typical course load designed to graduate from the program in two years. Scholarship recipients will have the opportunity to pursue internships with ExxonMobil during their program at LIT which could lead to full-time employment upon graduation.

In other places, communities existed long before we arrived. The Gulf Coast Growth Ventures (GCGV) facility that we operate near Corpus Christi, Texas, is one example. Projects like this involve hundreds of outreach meetings with local organizations, chambers, government agencies, civic groups, and neighborhoods. The GCGV Good Neighbor Program was initiated to address topics that local residents identified as most important, with four pillars: Health & Safety, Education & Workforce, Environmental Stewardship, and Quality of Life.

Recent highlights include:

• More than $750,000 in STEM education grants from ExxonMobil and the ExxonMobil Foundation in 2025.
• More than $7.5 million spent with local businesses in 2024. 
• 26 paid interns, including 20 in the second annual Process Technology Internship Program from Del Mar College in 2024.
• $237,000 in total contributions to United Way of the Coastal Bend, and $125,000 in donations to local environmental organizations in 2024. 

Across our operations, we regularly consult with local groups and individuals so that range of relevant stakeholders are represented as we work alongside our communities, building on the best aspects of our operations while mitigating any potential negative impacts.

As described in the Caring for land and biodiversity section of this report, the environmental and socioeconomic setting of our operations includes a wide range of interconnected aspects of nature, regulation, and socioeconomic sensitivities. Our policies, practices, and expectations of employees support our efforts to: 

• Foster a culture of trust through inclusivity and transparency.
• Identify, mitigate, and respond effectively to the potential impacts of our operations.
• Make financial contributions and develop programs in communities to address needs or opportunities where we have some expertise or value to add.
• Work to ensure local communities directly and indirectly benefit from our presence.

As part of our engagement process, we identify and consult with potentially impacted community members including potentially vulnerable community members to understand barriers that may limit their participation. We tailor our processes to be accessible, open to all, and effective in exchanging information and identifying issues.

Our top priority is running safe facilities for our employees and nearby residents. That’s what we’ve done for more than 140 years, and it’s what we will continue to do as we work to be an integral part of the communities in which we operate.

Community health, safety, and security

We integrate community health, safety, and security aspects into our impact assessments as a key part of our socioeconomic management approach. Our Community Health, Safety, and Security Management Plans typically include:

• Identified risks.
• Mitigation and management measures.
• Monitoring of outcomes.

Risks assessed may include:

• Road traffic.
• Diseases spread by vectors such as mosquitoes, ticks, and fleas.
• Soil, water, and sanitation-related diseases.
• Cultural health practices.
• Population shifts.

We also look for opportunities to improve health, safety, and security in the communities where we operate.

Local economic development

We work closely with local communities to understand their unique needs. Our goal is to contribute to long-term economic and social development. Our approach aims to integrate local content and community investment into every stage of our projects.

Local content

We take a strategic, long-term approach to building human, social, and economic capacity. This approach delivers tangible, lasting benefits for people, communities, and businesses in host countries.

We focus on:

• Employing and training local personnel.
• Supporting local suppliers and contractors.
• Improving the livelihoods of community members.

As part of our project planning, we create a relevant local content plan. These plans set objectives for long-term economic development, considering social and economic conditions, the nature of the project, and community needs.

Local hiring and development

We aim to enhance the long-term capability of the local workforce through recruitment, training, and succession planning. We focus on developing national talent who can contribute meaningfully to local operations, while also building a global pool of skilled professionals who can meet our evolving business needs and support broader economic development.

We hire local individuals and help them develop technical and leadership skills. These skills benefit them throughout their careers with ExxonMobil or other future employers. Our development program includes training in:

• Relevant technical and vocational skills.
• Health and safety.
• Environmental protection.
• Management skills.
• Business conduct.

For more information on how we’re Investing in People, visit our website.

Building the talent pipeline in Guyana

ExxonMobil Guyana Limited takes a multi-tiered approach to local content and local economic development that includes workforce development, supplier development, and strategic investments. We focus on building workforce and supplier capabilities in conjunction with strategic investments in the local community.

Our strategy to develop a local and talented workforce has two components – the recruitment and development of Guyanese personnel who can play a role in our local operations, and the continued development of a local pool of talent capable of meeting our future business needs in Guyana. We apply proven training curriculums, industry best practices, and leading technology to support local workforce development.

The Guyana STEM Initiative is a $100 million, 10‑year education program launched by ExxonMobil to support the development of Science, Technology, Engineering, and Mathematics (STEM) capabilities across Guyana. The program aims to strengthen the country’s long‑term talent pipeline by improving STEM teaching, expanding student access to high‑quality resources, and establishing clear pathways from education to technical careers.

The initiative is organized around three core pillars:

• Teacher STEM training through collaborations with the Ministry of Education, the University of Guyana, and the University of Houston, beginning in September 2026.
• Expanded student STEM opportunities, including classroom and extracurricular programs, hands‑on activities, and a new network of two STEM Centres and satellite sites across the country starting with the first STEM Centre to open in 2029.
• College and career pathways that provide pre‑college courses, transition support, mentoring, and tutoring to help students connect STEM learning to future careers.

Additional information about local content efforts in Guyana can be found at our Guyana Local Content website and in ExxonMobil Guyana’s 2024 annual report. 

Local supplier development and utilization

We know the importance of building a strong, competitive supply chain in the countries where we operate. Our approach includes buying goods and services from local suppliers and helping them grow their capabilities. This helps to create a competitive local industrial base.

We collaborate with host governments, NGOs, and local communities to support local businesses. To become a supplier for ExxonMobil, a local business must meet our safety, technical, environmental, and human rights expectations. Our efforts support the long-term economic progress of the community.

Investments in local communities

Our investments support the economic development of local communities. We engage with community members, host governments, and others to develop meaningful projects. These projects aim to build and sustain economic growth while improving social conditions. We consider each community’s development goals when deciding where, when, and how to invest.

For more information about this program and other philanthropic activities, visit the Community page of our website.

Land use, resettlement, and livelihood restoration

We respect property rights in the countries and communities where we operate. We aim to avoid involuntary resettlement and minimize voluntary resettlement through careful site selection. When resettlement is unavoidable, our objective is to restore or improve the living standards and livelihoods of displaced people.

Site selection process

We assess multiple potential locations for our operations based on availability, accessibility, safety, and environmental, and social considerations. Our screening process includes factors specific to each country, community, and area, such as:

• Local demographics.
• Employment sources and levels.
• Housing.
• Gender relations.
• Marginalized groups.
• Ecosystem services.
• Regional conflicts or tensions.
• Religious and cultural sites.

Land acquisition 

If land is necessary for a project, we follow host-country regulations and our internal standards. For externally financed projects, we also adhere to lender requirements regarding land use, access, and resettlement. Resettlement is considered “involuntary” when affected individuals or communities cannot refuse, such as in cases of eminent domain. Projects requiring resettlement undergo heightened review by senior management.

Resettlement and livelihood restoration

When physical or economic displacement occurs, we implement fair and transparent resettlement and compensation plans. These plans comply with regulatory requirements and recognized benchmarks like International Finance Corporation Performance Standard 5. They are tailored to the specific geographies and cultures of each location, informed by engagement with affected landowners and supported by detailed surveys of housing, gardens, wildlife, sources of nature-based products, harvesting areas, and other assets. We maintain transparency and offer a community grievance mechanism throughout the process. 

Indigenous peoples

In locations inhabited or historically used by Indigenous peoples, we work closely with these communities to respect their cultures and customs. We support employment initiatives and cultural heritage programs through local content development and strategic community investments.

Meaningful engagement

We are committed to meaningful engagement and open consultation with Indigenous peoples. We incorporate traditional knowledge and land use practices into our plans and promote community programs that respect traditions and cultures. Meaningful engagement is a key aspect of Free, Prior, and Informed Consent, as recognized in the United Nations Declaration on the Rights of Indigenous Peoples.

No two communities are the same. We start by establishing tailored engagement methods that align with local customs and preferences. Communities decide how they want us to engage, whether with elected leaders, community elders, or other representatives. They also choose the format – public forums, formal or informal meetings, and the frequency of these engagements.

Global frameworks

Our interactions with Indigenous peoples are consistent with the following frameworks:

• International Labour Organization Convention 169.
• United Nations Declaration on the Rights of Indigenous Peoples.
• International Finance Corporation Performance Standards.
• World Bank Operational Policy on Indigenous Peoples.

Indigenous Rightsholders have consistently emphasize that building strong partnerships with Indigenous businesses is one of the most meaningful contributions companies can make toward progressing reconciliation. The term “Reconciliation” refers to a commitment to maintaining a mutually respectful relationship between Indigenous and non-Indigenous peoples in Canada. 

Imperial has worked to connect Indigenous and non-Indigenous suppliers and align its national supply chain needs with Indigenous partner capacity. As a Canadian Council for Indigenous Business (CCIB) procurement champion, Imperial is among a select group of corporations committed to increasing supply chain opportunities for Indigenous businesses.

In 2025, Imperial:

• Received silver-level recertification from the CCIB through their Partnership Accreditation in Indigenous Relations (PAIR) program – a prominent corporate social responsibility program that emphasizes Indigenous relations.
• Committed nearly $19 million through community benefits agreements to Indigenous communities across Canada.
• Surpassed $7 billion in spending with Indigenous businesses since 2008 and achieved the highest annual business spend in 2025 at more than $1 billion.

Imperial continues to expand its efforts across the value chain, incorporating Indigenous input and Traditional Knowledge into its projects and practices, increasing Indigenous representation in its workforce and enhancing cultural awareness and understanding for its employees across Canada. 

Cultural Heritage

Our respect for the cultural heritage and customs of local communities carries into our business practices. We do this by managing the potential impacts of our operations and by making culturally appropriate community investments.

From project design to our ongoing operations, we look for ways to help preserve cultural heritage. As we design our projects, we consider cultural and spiritual considerations, heritage sites, biodiversity conservation, traditional knowledge, and efficient use of resources.

We value and respect the cultural histories of the areas where we operate. To do this, we identify potential sites of cultural significance. If the recovery or relocation of an artifact is appropriate, we develop tailored procedures in consultation with technical experts, local communities, and host country government officials.

We also deepen our knowledge with relevant research. And we provide training to our construction and field contractor personnel. This helps them identify different types of cultural heritage in the areas where we work.