Downstream is chemicals and refining of crude oil

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Scenario: ExxonMobil is too acquire XTO Energy. Cost of the acquisition to Exxon is $41 billion dollars          

Deal will allow ExxonMobil to add to its upstream ( exploration & development), by way of engaging in development of shale and unconventional natural gas resources.

In addition, ExxonMobils downstream is chemicals and refining of crude oil into a variety of consumer and industrial products.

How do you think the company should approach the determinationn of its Cost of Capital for making new Capital investment decisions ?

Reference no: EM131420666

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