In following examples set by MPO and COP, XOM is likely to split exploration and production. Warren Buffett has proven that the split is profitable. Shortly following COP's creation of PSX (production side of the company) ,Trading of PSX began at a 50% share split to COP. Buffet saw the upcoming potential with PSX trading at $31+ per share. Today, PSX trades at over $53+ per share. Buffet has stated that $70+ is just around the corner. Trade volume has soared 15% since the split occurred. Be ready to share in XOM's upcoming corporate split and profit accordingly.Exploration is always hit and miss, Production has a stable/increasing worldwide demand. Invest for the upcoming production supply.
Bzzzzttt!!! Wrong answer. PSX is NOT the production piece from COP. It is the Refining and marketting arm. Plus, post COP/PSX spin off, refining margins went up significantly. But they have since contracted just as much.
BTW, Bufett has also called his investment in COP (and subsequently PSX via the spinoff) a mistake. Then he called his reduction in that position a mistake. Etc. WEB is a heck of a value investor with a heck of a long term track record. But a) even he makes mistakes and b) he does not invest in something because it is "just around the corner". He is the forever buy and holder.