ConocoPhillips to Divest Up to $10 Billion in Assets

Proceeds will be used for future exploration activities.

ConocoPhillips plans to sell between $5 billion and $10 billion of noncore assets in the next two years and reinvest part of the proceeds into a capital investment program, the company said March 23.

Proceeds from the sale will also be used to fund the company's recently announced $10 billion share repurchase program.

"We are executing the plan set out last year to improve returns and create value through disciplined capital spending, non-core asset sales and growing production per share," said Jim Mulva, chairman and chief executive officer, in a statement. "Our unique approach prioritizes value creation over low margin production growth and is designed to position the company for higher returns and increased shareholder distributions in the future."

ConocoPhillips previously announced a $13.5 billion capital program for 2011. The company is investing nearly 90% of the program into its exploration and production segment.

The company expects production growth related to major international developments, unconventional liquids resources in North America and expansion of its exploration portfolio.

ConocoPhillips also plans to increase new exploration technology investments over the next five years.

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