The Cerrejón Mine expanded operations to new areas in 1999 and achieved record production.

BUSINESS SCOPE

• ExxonMobil has coal mining operations in Colombia, Australia, and the United States.
  
  

Industry Conditions

• Seaborne international coal demand remained steady in 1999, however, prices were below 1998 levels.

COAL STRATEGIES Increase productivity and reduce costs through process improvements and selective equipment upgrades. Optimize production capacity at existing mines. 1999 HIGHLIGHTS Record earnings of $53 million. Record coal production of 16.9 million metric tons. Reduced unit costs 9 percent.(1) Extended the Cerrejón Association Contract with the Colombian government until 2034. Completed initial development of new mining areas at Cerrejón and Lemington South. Revised contract terms with a major customer, increasing long-term coal shipments from Monterey No. 1 Mine.

COAL OPERATIONS
	Country	1999 Production ExxonMobil Share
		(millions of metric tons)
Cerrejón (ExxonMobil interest 50 percent)	Colombia	8.8
Lemington (ExxonMobil interest 100 percent)	Australia	3.4
Ulan (ExxonMobil interest 36 percent)	Australia	1.9
Monterey No.1 (ExxonMobil interest 100 percent)	United States	2.8

Statistical Recap	1999	1998	1997
Earnings (millions of dollars)	53	42	3
Coal production (millions of metric tons)	16.9	15.5	15.0
Coal resources (millions of metric tons)	3,168	3,588	3,291
Average capital employed (millions of dollars)	796	830	905
Capital expenditures (millions of dollars)	59	31	44
(1) Adjusted for currency effects.