Notes From All Over -- January 12, 2022

COP investor presentation, January 12, 2022. Link here. Only seven slides including a title slide and a disclaimer slide. I find it amazing when a corporate presentation addresses one issue: the dividend. Seriously?

• clear priorities:
• sustain (not grow) production
• pay dividend; annual dividend growth;
• "A-rated" balance sheet
• > 30% of CFO shareholder payout
• disciplined investment to enhance returns
• value:
• 1.8 million boepd, 2022 production
• 3-tier distribution framework to include variable return of cash (VROC)
• tier 1: ordinary dividend
• tier 2: share repurchases
• tier 3: VROC -- yes, when declared, payments staggered with ordinary dividend
• 8 + 4: a "dividend" each month? that's what it looks like
• first VROC, $0.20/share -- increases first-quarter cash return by almost 45% above ordinary dividend
• total 2022 expected distribution increase of $1 billion or 16% over that of 2021
  

Saudi Arabia to invest in European refinery just west of Russia: link to Charles Kennedy:

• Gdansk, Poland
• 30 percent share
• 210,000-bpd refinery
• refinery partner: BP, the world's largest oil company and top oil exporter