Mr. Brad Corson reports

IMPERIAL PROVIDES 2024 CORPORATE GUIDANCE OUTLOOK

Imperial Oil Ltd. today provided an update on its corporate guidance outlook for 2024. The company's strategy remains focused on maximizing value of existing assets and progressing select high-value growth opportunities while continuing to reduce company emissions and delivering industry-leading returns to shareholders.

"Over the next year, Imperial is positioned to deliver key milestones on strategic goals as we continue to profitably grow volumes at Kearl, begin producing from industry's first solvent-assisted SAGD project with Cold Lake Grand Rapids, and advance construction on Canada's largest renewable diesel facility at our Strathcona refinery," said Brad Corson, chairman, president and chief executive officer. "Our strategic investments and continued focus on cost-efficiencies have positioned Imperial to generate robust free cash flow over a range of business conditions and we remain confident in our ability to deliver on our commitments to shareholders."

Capital spending is forecast at $1.7-billion. In the downstream, construction continues on the Strathcona renewable diesel facility with production expected to begin in early 2025. In the upstream, key projects include the SAGD redevelopment of the Leming field and high-value drilling opportunities at Cold Lake, as well as further volume enhancement initiatives, including secondary bitumen recovery technology and continued progression of work on the in-pit tailings project at Kearl.

In the upstream, production is forecast to be between 420,000 and 442,000 gross oil equivalent barrels per day. This reflects the multiyear volume growth and cost optimization journey at Kearl to profitably deliver annual production of 280,000 total gross barrels per day, as well as the accelerated ramp-up of the first phase of the Grand Rapids (GRP1) project at Cold Lake. The GRP1 project is expected to deliver 15,000 gross barrels per day at full production and is designed to reduce greenhouse gas emissions intensity by up to 40 per cent compared with current steam technology.

In the downstream, throughput is forecast to be between 385,000 and 400,000 barrels per day with capacity utilization between 89 per cent and 92 per cent. The company is planning to complete turnarounds at all three of its refineries in 2024, which includes scope to enable the co-processing of vegetable oils alongside conventional feedstock at Strathcona refinery. The planned turnarounds are anticipated to have a modestly higher impact on throughput but at a lower cost in comparison with 2023 turnaround activity. Imperial continues to focus on further improving its advantaged Canadian downstream business by leveraging its coast-to-coast logistics network to efficiently move product to high-value markets, maximizing refinery crude and product slate flexibility to improve resiliency and further developing its lower-carbon product offering to meet the needs of customers across Canada.

Imperial remains committed to supplying secure, reliable and affordable energy to Canadians in an environmentally responsible manner, including reducing emissions through deployment of large-scale solutions such as carbon capture and storage through the Pathways Alliance, development of next-generation solvent recovery technologies at Cold Lake, and investing in other attractive emissions abatement opportunities. "Imperial supports Canada's vision for a lower-emission future and our plans reflect our aggressive pursuit of high-value opportunities that help reduce emissions and grow production and improve profitability for our shareholders," said Mr. Corson.

We seek Safe Harbor.