ConocoPhillips Highlights Solid Results and Raises Concerns Over Un-American Tax Proposals at Annual Meeting of Shareholders

ConocoPhillips (NYSE:COP) is making significant progress on its plan to deliver long-term value, the company said today at its Annual Meeting of Shareholders. ConocoPhillips initiated its multi-year returns-enhancement plan in 2010, designed to increase distributions to shareholders, refocus the company’s portfolio and renew the company’s commitment to strategic, financial and operational discipline.

"Our performance has delivered significant value to our shareholders, and our 2010 total shareholder return of 39 percent was the highest among our industry peer group,” said Jim Mulva, chairman and chief executive officer. "We have continued our commitment to increase shareholder distributions in 2011, announcing a 20 percent increase in the quarterly dividend rate and an additional $10 billion share repurchase program.”

Over the next two years, ConocoPhillips plans to execute a $28 billion capital program, almost 90 percent of which has been allocated to Exploration and Production, supporting the company’s greater-than-100-percent reserve replacement target. During this timeframe, the company plans to sell an additional $5-10 billion of non-core assets. ConocoPhillips continues to increase spending on maintenance and safety.

Further expanding on the outlook for the company, Mulva expressed concerns about the challenging political environment facing the energy industry, in particular, the potential impacts of increased regulatory burdens and proposed tax increases.

"These unprecedented proposed taxes, targeted at only five companies, would have serious effects on our company. We already have the highest effective tax rate among companies in the United States and these proposals unfairly single us out for additional taxes,” said Mulva. "Not only would increased taxes cost jobs, raise consumer prices and shrink government revenue, but they would also hamper our ability to remain competitive and reinvest in jobs, new energy technologies and resources in the United States and internationally.”

Mulva will testify in Washington, D.C. before the Senate Finance Committee on May 12, 2011.

Final voting results will be reported on Form 8-K, which will be filed with the Securities and Exchange Commission. These results and other information, including presentation materials and a recorded webcast of the meeting, will also be available at www.conocophillips.com/investor.

ConocoPhillips is an integrated energy company with interests around the world. Headquartered in Houston, the company had approximately 29,600 employees, $160 billion of assets, and $226 billion of annualized revenues as of March 31, 2011. For more information, go to www.conocophillips.com.

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