One of the biggest petrochemical giants on the planet is moving its operations out of Dallas-Fort Worth to the Houston area. ExxonMobil revealed January 31 that it is moving its corporate headquarters from Irving to its campus in Greater Houston.
The company expects the transfer, which will combine its chemical and refining divisions, to be completed by 2023. ExxonMobil’s HQ will no longer be the tree-lined “God Pod” complex in Irving, but rather a shimmering, glass-lined compound in Spring, which former CEO Rex Tillerson opened in 2014.
Some 250 people currently work at the Irving location, including the CEO and management committee, an ExxonMobil rep says.
Bloomberg reports the move is mostly aimed at cutting costs; the company estimates $6 billion in savings by moving to Greater Houston and combining divisions.
ExxonMobil will also reorganize along three business lines: upstream, product solutions, and low-carbon division, per a statement.
In a statement provided to CultureMap, the company adds that the move “will enhance collaboration and provide more opportunities to share expertise across the entire corporation as part of our strategy to better leverage corporate advantages to grow shareholder value.”
With its big relocation, ExxonMobil becomes Houston’s 25th Fortune 500 headquarters, the third highest concentration in the country, after New York and Chicago, per the Greater Houston Partnership. It will be the largest Fortune 500 company to be headquartered in the Houston region, ranking No. 10 in the 2021 listing based on $181.5 billion revenues in 2020.
“We greatly value our long history in Irving and appreciate the strong ties we have developed in the North Texas community,” CEO Darren Woods said in a news release. “Closer collaboration and the new streamlined business model will enable the company to grow shareholder value and position ExxonMobil for success through the energy transition.”