marathon oil 2nd Quarter 2007

MARATHON OIL CORPORATION REPORTS SECOND QUARTER
2007 RESULTS

HOUSTON, July 31, 2007 – Marathon Oil Corporation (NYSE: MRO) today reported second quarter 2007 net
income of $1.550 billion or $2.25 per diluted share. Net income in the second quarter of 2006 was $1.748
billion, or $2.40 per diluted share. For the second quarter of 2007, net income adjusted for special items was
$1.548 billion, or $2.25 per diluted share. For the second quarter of 2006, net income adjusted for special
items was $1.515 billion, or $2.08 per diluted share.

Earnings Highlights
2nd Quarter Ended June 30
(In millions, except per diluted share data) 2007 2006**

Net income adjusted for special items* $1,548 $1,515
Adjustments for special items* (net of taxes):
Gain on sale of discontinued operations 8 243
Loss on long-term U.K. natural gas contracts (5) (10)
Loss on early extinguishment of debt (1) —
Net income $1,550 $1,748
Net income adjusted for special items* – per diluted share $2.25 $2.08
Net income – per diluted share $2.25 $2.40
Revenues and other income $16,887 $18,290
Weighted average shares - diluted 689 728

*See page 6 for a discussion of net income adjusted for special items.
**Restated for two-for-one stock split on June 18, 2007. See Note 2 on page 10.

Key Highlights

Exploration and Production
• Announced results of the Droshky discovery and appraisal sidetrack wells in the Gulf of Mexico
• Announced three exploration discoveries in deepwater Angola
• Signed cooperation agreement with Naftogz Ukrainy to study the Dnieper-Donets Basin, Ukraine

Refining, Marketing and Transportation
• Set records for quarterly refinery crude and total throughputs
• Achieved same store gasoline sales volume increase of 0.9 percent and merchandise sales revenue
increase of 3.4 percent at Speedway SuperAmerica (SSA)
• Received U.S. Environmental Protection Agency Energy STAR awards for energy efficiency at four
refineries

Marathon Oil Corporation Reports Second Quarter 2007 Results

Integrated Gas
• Delivered first Equatorial Guinea liquefied natural gas (LNG) shipment six months ahead of schedule

Corporate
• Repurchased 57 million common shares to-date at cost of $2.5 billion
• Increased quarterly dividend 20 percent, fifth increase in four years
• Completed two-for-one split of the Company’s common stock

“Marathon’s second quarter was marked by exceptional operating performance in our refineries allowing the
Company to achieve a record refinery utilization rate of 110 percent and to realize record crude oil and total
refinery throughputs during the quarter. This allowed us to capture the improved refining and wholesale gross
marketing margins and stronger pricing seen in the market during the second quarter,” said Clarence P.
Cazalot, Jr., Marathon president and CEO. “Additionally, Marathon and our partners marked the first LNG
delivery from the Equatorial Guinea LNG Train 1 production facility during the second quarter. This project,
completed six months ahead of schedule and on budget, earns the distinction of being the fastest LNG facility
ever built, from inception to first delivery, while maintaining an outstanding safety performance. The plant
not only allows the commercialization of the Alba field’s natural gas, but also provides a platform to create a
potential regional LNG hub on Bioko Island, Equatorial Guinea.”

Segment Results
Total segment income was $1.658 billion in the second quarter of 2007, compared with $1.593 billion in the
second quarter of 2006.


(In millions) 2007 2006
Segment Income
Exploration & Production (E&P)
United States $173 $243
227 416
International
Total E&P 400 659
Refining, Marketing & Transportation 1,246 917
12 17
Integrated Gas
Segment Income *** $1,658 $1,593

*** See Preliminary Supplemental Statistics on page 11 for a reconciliation of segment income to net income
as reported under generally accepted accounting principles.

Exploration and Production
Upstream segment income totaled $400 million in the second quarter of 2007, compared to $659 million in
the second quarter of 2006. Sales volumes during the quarter averaged 338,000 barrels of oil equivalent per
day (boepd) and production available for sale averaged 345,000 boepd.

United States upstream income was $173 million in the second quarter of 2007 compared to $243 million in
the second quarter of 2006, primarily as a result of lower liquid hydrocarbon and natural gas sales volumes.
Normal production declines and a planned turnaround at the Alaska LNG facility account for the majority of the
volume decrease. The impact of higher realized natural gas prices was approximately offset by lower realized
liquid hydrocarbon prices.

Marathon Oil Corporation Reports Second Quarter 2007 Results page 2

International upstream income was $227 million in the second quarter of 2007, compared to $416 million in
the second quarter of 2006, primarily as a result of lower liquid hydrocarbon sales volumes, lower liquid
hydrocarbon and natural gas realized prices, increased exploration expenses and a higher effective tax rate.
The lower liquid hydrocarbon sales volumes were due to an overlift of approximately 40,000 barrels of oil per
day (bpd) in the second quarter of 2006, while the Company was slightly underlifted during the second
quarter of 2007. The increase in Equatorial Guinea natural gas sales volumes due to the start-up of the LNG
Train 1 production facility contributed to the decline in the average realized natural gas price.


2007 2006
Key Production Statistics
Net Sales
United States – Liquids (mbpd) 65 79
United States – Gas (mmcfpd) 460 523
International – Liquids (mbpd) 134 180
International – Gas (mmcfpd) 374 278

Net Sales from Continuing Operations (mboepd) 338 392
_ 20
Discontinued Operations (mboepd)
Total Net Sales (mboepd) 338 412

The Company announced the sidetrack results of the Droshky discovery in the Gulf of Mexico in the second
quarter of 2007. Based on the results of the three well penetrations, Marathon estimates the Droshky
discovery holds mean recoverable resource of 80 to 90 million gross barrels of oil equivalent. The timing of
initial production will be dependent upon delivery of key equipment (i.e., drilling rig and subsea equipment)
and regulatory approvals, but could be as early as 2010. Marathon holds a 100 percent working interest in
the Droshky discovery.

Marathon continued its exploration success in deepwater Angola, having announced one discovery on Block 31
(Cordelia) and two discoveries on Block 32 (Cominhos and Louro) during the second quarter of 2007. To date,
Marathon has announced 24 discoveries on Blocks 31 and 32. Marathon has also participated in two
additional wells that have reached total depth in deepwater Angola and results will be announced upon
government and partner approvals. Three dry wells were drilled in deepwater Angola during the quarter.
Marathon has a 10 percent interest in Block 31 and a 30 percent interest in Block 32.

Marathon signed an agreement with Naftogz Ukrainy to study the northern part of the Dnieper-Donets Basin,
Ukraine. The results of these studies could lead to future joint exploration and production activities in
Ukraine.

Marathon continued to progress major projects during the second quarter. On the Neptune development in the
Gulf of Mexico, the mini-tension-leg platform hull has been installed and the topsides were set in June.
Subsea equipment installation, topsides hook-up and facility commissioning are in progress. First production
remains on schedule for early 2008.

Commissioning of the Alvheim floating production, storage and offloading (FPSO) vessel continues. The
difficult market conditions for skilled labor and additional work-scope identified during integration of the ship
and topsides systems has delayed first production to the fourth quarter of 2007. Even with this delay, the
Alvheim/Vilje project continues on a track to achieve an industry-leading completion schedule, moving from


discovery to first production in four years. Production from Alvheim/Vilje is expected to achieve a peak net
rate of approximately 75,000 boepd in 2008.

Marathon’s previous 2007 production available for sale guidance was calculated based on Alvheim/Vilje
achieving first oil in the first quarter of 2007. While all other areas of Marathon’s production remain within
initial guidance, Marathon now expects its 2007 production available for sale to be between 350,000 and
375,000 boepd. Despite the impact of this project delay, Marathon’s strong portfolio of development
opportunities continues to underpin the Company’s estimated 2006 though 2010 compound average annual
production growth rate of 6 to 9 percent.

Refining, Marketing and Transportation

Downstream segment income was $1.246 billion in the second quarter of 2007, compared to $917 million in
the second quarter of 2006, primarily as a result of improvement in the refining and wholesale marketing
gross margin, which averaged 39.25 cents per gallon in the second quarter of 2007 compared to 29.78 cents
per gallon in the second quarter of 2006. This margin improvement was consistent with the relevant
indicators (crack spreads) in the Midwest (Chicago) and Gulf Coast markets. Crude oil refined averaged
1,072,000 bpd during the second quarter of 2007, 34,000 bpd higher than the average for the same period of
2006 and a quarterly record. Total refinery throughputs were 1,280,000 bpd for the second quarter of 2007,
also a quarterly record, and three percent higher than the 1,245,000 bpd during the second quarter of 2006.

Speedway SuperAmerica’s (SSA) gasoline and distillate gross margin averaged approximately 10.29 cents per
gallon during the second quarter of 2007, up from the 10.19 cents per gallon realized in the second quarter of
2006. SSA increased same store merchandise sales by 3.4 percent over the same quarter last year.


2007 2006
Key Refining, Marketing & Transportation Statistics
Crude Oil Refined (mbpd) 1,072 1,038
208 207
Other Charge and Blend Stocks (mbpd)
Total Refinery Inputs (mbpd) 1,280 1,245
Refined Product Sales Volumes (mbpd) 1,426 1,461
Refining and Wholesale Marketing Gross Margin ($/gallon) $0.3925 $0.2978

Progress continued on the projected $3.2 billion Garyville, La., refinery expansion, which will increase the
refinery’s 245,000 bpd capacity to 425,000 bpd. Construction crews are clearing the site and driving piles
that will be used to support the foundation for the equipment that will be constructed at this site over the next
two years. When completed in late 2009, this expansion will enable the refinery to provide an additional 7.5
million gallons of clean transportation fuels to the market each day.

Construction also continues to progress on the Company’s 110-million-gallon-per-year 50/50 joint venture
ethanol facility in Greenville, Ohio. The project remains on target to be operational in the first quarter of 2008.

Also during the second quarter of 2007, the U.S. EPA awarded five refineries, including four of Marathon’s
refineries (Garyville, Canton, Ohio, St. Paul Park, Minn., and Texas City, Texas) with the Energy STAR award
in recognition of their achievements in energy efficiency.


Integrated Gas

Integrated gas segment income was $12 million in the second quarter of 2007 compared to $17 million in the
second quarter of 2006. Increased income from Equatorial Guinea LNG Holdings (EGHoldings), as a result of
the first LNG deliveries from the Train 1 production facility during the second quarter of 2007, was offset by a
decline in income from domestic integrated gas activities due to a planned turnaround at the Company’s
Alaska LNG facility, as well as increased research and development costs and increased income taxes.


2007 2006
Key Integrated Gas Statistics
Net Sales
LNG (metric tonnes per day) 1,997 1,106
Methanol (metric tonnes per day) 1,107 1,068

The EG LNG Train 1 production facility, in which Marathon holds a 60 percent interest, delivered its first cargo
of LNG in May 2007, six months ahead of schedule. A total of three LNG cargoes were sold during the second
quarter of 2007. As scheduled, Train 1 production was shutdown in June for a performance test which
confirmed the plant’s capacity of 3.7 million metric tonnes per annum (mmtpa). The plant was shut down for
commissioning maintenance in early July and has since returned processing levels to full capacity.

Corporate
In January 2006, Marathon announced a share repurchase program which was increased in January 2007 and
May 2007, for total authorized repurchases of $3 billion. Through the second quarter of 2007, Marathon has
repurchased approximately 57 million of its common shares, on a split adjusted basis, at a cost of $2.5 billion.
This program may be changed based on the Company's financial condition or changes in market conditions
and is subject to termination prior to completion.

On April 25, 2007, Marathon announced a two-for-one split of its common stock. The stock split was effected
in the form of a stock dividend distributed on June 18, 2007, to stockholders of record at the close of business
on May 23, 2007. Stockholders received one additional share of Marathon Oil Corporation common stock for
each share of common stock held as of the close of business on the record date. Common share and per share
information for all periods presented has been restated throughout this release.

Also on April 25, Marathon's board of directors declared an eight cent per share, or 20 percent, increase in the
first quarter dividend payable on Marathon Oil Corporation common stock, resulting in a new quarterly
dividend rate on a post-split basis of 24 cents per share. Since July 2003, Marathon has increased the
quarterly dividend five times resulting in a 109 percent increase during this period.

Marathon’s board of directors has approved an increase in the capital, investment and exploration spending
for 2007, excluding major acquisitions, from $4.2 billion to $4.7 billion. Total upstream spending is now
projected at $2.6 billion, an increase of $400 million, while downstream spending is expected to increase by
approximately $200 million to $1.7 billion. Integrated gas spending is now expected to be $200 million less
than the original estimate of $331 million while capitalized interest and corporate spending will be
approximately $100 million higher than originally anticipated.


2007 Estimate
(In millions) Original Revised Change
Capital, Investment and Exploration Spending****
Exploration & Production $2,231 $2,614 $383
Refining, Marketing & Transportation 1,464 1,666 202
Integrated Gas 331 122 (209)
216 281 65
Corporate and Capitalized Interest
Total $4,242 $4,683 $441

**** See page 8 for a reconciliation of Capital, Investment and Exploration Spending to capital expenditures
as would be reported under U.S. generally accepted accounting principles.

The upstream increase is roughly evenly divided between an increase in the cost of the Alvheim/Vilje project
and general inflationary pressures. The increase in the downstream spending is largely due to the acceleration
of certain aspects of the Garyville refinery expansion, while the projected total for the Garyville expansion
remains unchanged at $3.2 billion. The decrease in the Integrated Gas segment is mainly a result of
EGHoldings, the entity that owns EG LNG Train 1, being accounted for under the equity method upon the start
of production. Capitalized interest has increased as a result of the delay of the Alvheim/Vilje project.

Special Items

Marathon has two long-term natural gas sales contracts in the United Kingdom that are accounted for as
derivative instruments. Mark-to-market changes in the valuation of these contracts must be recognized in
current period income. During the second quarter of 2007, the non-cash after-tax mark-to-market loss on
these two long-term natural gas sales contracts related to Marathon's North Sea Brae natural gas production
totaled $5 million. Due to the volatility in the fair value of these contracts, Marathon consistently excludes
these non-cash gains and losses from net income adjusted for special items.

Marathon sold its Russian oil exploration and production businesses in June 2006. During the second quarter
of 2007, adjustments to the sales price were substantially completed and an additional $8 million after-tax
gain on the sale was recognized. This gain has been excluded from net income adjusted for special items.

In the second quarter of 2007, Marathon extinguished a portion of its outstanding debt at a premium and
recognized a $1 million after-tax loss. This loss has been excluded from net income adjusted for special
items.

The Company will conduct a conference call and webcast today, July 31, 2007, at 9:00 a.m. EDT during which
it will discuss second quarter 2007 results. The webcast will include synchronized slides. To listen to the
webcast of the conference call and view the slides, visit the Marathon Web site at www.Marathon.com.
Replays of the webcast will be available through August 14, 2007. Quarterly financial and operational
information is also provided on Marathon’s Web site at
http://www.marathon.com/Investor_Center/Investor_Relations/ in the Quarterly Investor Packet.

- xxx -

In addition to net income determined in accordance with generally accepted accounting principles, Marathon
has provided supplementally “net income adjusted for special items,” a non-GAAP financial measure which
facilitates comparisons to earnings forecasts prepared by stock analysts and other third parties. Such
forecasts generally exclude the effects of items that are considered non-recurring, are difficult to predict or to

measure in advance or that are not directly related to Marathon's ongoing operations. A reconciliation
between GAAP net income and “net income adjusted for special items” is provided in a table on page 1 of this
release.

“Net income adjusted for special items” should not be considered a substitute for net income as reported in
accordance with GAAP. Management, as well as certain investors, uses “net income adjusted for special
items” to evaluate Marathon's financial performance between periods. Management also uses “net income
adjusted for special items” to compare Marathon's performance to certain competitors.

This release contains forward-looking statements with respect to the timing and levels of the Company’s
worldwide liquid hydrocarbon and natural gas and condensate production and sales, the Alvheim/Vilje
development, the Neptune development, potential developments in Angola, anticipated future exploratory and
development drilling activity, the expected operational date of an ethanol facility, the Garyville expansion
project, and the common stock repurchase program. Some factors that could potentially affect worldwide
liquid hydrocarbon and natural gas and condensate production and sales, the Alvheim/Vilje development, the
Neptune development, potential developments in Angola, and anticipated future exploratory and development
drilling activity include pricing, supply and demand for petroleum products, amount of capital available for
exploration and development, regulatory constraints, timing of commencing production from new wells,
drilling rig availability, unforeseen hazards such as weather conditions, acts of war or terrorist acts and the
governmental or military response thereto, and other geological, operating and economic considerations.
Except for the Alvheim/Vilje and Neptune developments, the foregoing forward-looking statements may be
further affected by the inability or delay in obtaining government and third-party approvals and permits.
Worldwide production and sales could also be affected by the occurrence of acquisitions or dispositions of oil
and gas properties. Factors that could affect the ethanol plant construction and the Garyville expansion
project include transportation logistics, availability of materials and labor, unforeseen hazards such as weather
conditions, necessary government and third-party approvals, and other risks customarily associated with
construction projects. The Garyville project may be further affected by crude oil supply. The common stock
repurchase program could be affected by changes in prices of and demand for crude oil, natural gas and
refined products, actions of competitors, disruptions or interruptions of the Company’s production or refining
operations due to unforeseen hazards such as weather conditions or acts of war or terrorist acts, and other
operating and economic considerations. The foregoing factors (among others) could cause actual results to
differ materially from those set forth in the forward-looking statements. In accordance with the quot;safe harborquot;
provisions of the Private Securities Litigation Reform Act of 1995, Marathon Oil Corporation has included in its
Annual Report on Form 10-K for the year ended December 31, 2006, and subsequent Forms 10-Q and 8-K,
cautionary language identifying other important factors, though not necessarily all such factors, that could
cause future outcomes to differ materially from those set forth in the forward-looking statements.

Cautionary Note to U.S. Investors - The United States Securities and Exchange Commission (SEC) permits
oil and gas companies, in their filings with the SEC, to disclose only proved reserves that a company has
demonstrated by actual production or conclusive formation tests to be economically and legally producible
under existing economic and operating conditions. Marathon Oil Corporation uses certain terms in this press
release, such as recoverable resource, that the SEC's guidelines strictly prohibit us from including in filings
with the SEC. U.S. Investors are urged to consider closely the disclosures in Marathon's periodic filings with
the SEC, available from the Company at 5555 San Felipe Road, Houston, Texas 77056 and the Company's
Web site at http://www.Marathon.com. You can also obtain this information from the SEC by calling 1-800-
SEC-0330.


Capital, investment and exploration spending includes capital expenditures, cash investments in equity
method investees, exploration costs that are expensed as incurred rather than capitalized, such as geological
and geophysical costs and certain staff costs, and other miscellaneous investment expenditures. The
components of the 2007 original and revised capital, investment and exploration spending estimates are as
follows:

2007 Estimate

(In millions) Original Revised Change

Capital expenditures $3,886 $4,295 $409
Cash investments in equity method investees 107 124 17
249 264 15
Exploration costs other than well costs
Capital, Investment and Exploration Spending $4,242 $4,683 $441

Media Relations Contacts: Lee Warren 713-296-4103
Paul Weeditz 713-296-3910
Investor Relations Contacts: Ken Matheny 713-296-4114
Howard Thill 713-296-4140


Condensed Consolidated Statements of Income (Unaudited)
2nd Quarter Ended Six Months Ended
June 30 June 30
(In millions, except per share data) 2007 2006 2007 2006

Revenues and Other Income:
Sales and other operating revenues (including
$16,260 $15,962 $28,751 $28,862
consumer excise taxes)
Revenues from matching buy/sell transactions 65 1,806 123 5,012
Sales to related parties 411 411 731 723
Income from equity method investments 117 97 224 189
Net gains on disposal of assets 7 5 18 16
Other income 27 9 42 27
Total revenues and other income 16,887 18,290 29,889 34,829

Costs and Expenses:
Cost of revenues (excludes items below) 11,755 11,628 21,297 21,387
Purchases related to matching buy/sell
84 1,750 145 4,983
transactions
Purchases from related parties 54 47 101 98
Consumer excise taxes 1,307 1,277 2,504 2,442
Depreciation, depletion and amortization 396 369 789 769
Selling, general and administrative expenses 327 308 614 595
Other taxes 93 91 191 188
Exploration expenses 115 66 176 137
Total costs and expenses 14,131 15,536 25,817 30,599

Income from Operations 2,756 2,754 4,072 4,230
Net interest and other financing costs (income) (20) (9) (39) 14
Loss on early extinguishment of debt 1 – 3 –
Minority interests in loss of Equatorial Guinea
LNG Holdings Limited (1) (2) (3) (5)

Income from Continuing Operations before
Income Taxes 2,776 2,765 4,111 4,221
Provision for income taxes 1,234 1,281 1,852 1,966

Income from Continuing Operations 1,542 1,484 2,259 2,255
Discontinued operations 8 264 8 277

Net Income $1,550 $1,748 $2,267 $2,532

Income from Continuing Operations
Per share - basic $2.26 $2.05 $3.29 $3.11
Per share – diluted $2.24 $2.04 $3.27 $3.08
Net Income
Per share - basic $2.27 $2.42 $3.30 $3.49
Per share – diluted $2.25 $2.40 $3.28 $3.46
Dividends paid per share $0.24 $0.20 $0.44 $0.36
Weighted average shares
Basic 683 722 686 726
Diluted 689 728 691 733


Selected Notes to Financial Statements (Unaudited)

1. Equatorial Guinea LNG Holdings Limited (EGHoldings), in which Marathon holds a 60 percent interest, was
formed for the purpose of constructing and operating an LNG production facility. During facility
construction, EGHoldings was a variable interest entity (VIE) that was consolidated by Marathon because
Marathon was its primary beneficiary. Once the LNG production facility commenced its primary operations
and began to generate revenue in May 2007, EGHoldings was no longer a VIE. Effective May 1, 2007,
Marathon no longer consolidates EGHoldings, despite the fact that the Company holds majority ownership,
because the minority shareholders have rights limiting Marathon’s ability to exercise control over the
entity. Marathon’s investment is accounted for prospectively using the equity method of accounting.

2. On April 25, 2007, the Company’s Board of Directors declared a two-for-one split of the Company’s
common stock. The stock split was effected in the form of a stock dividend distributed on June 18, 2007,
to stockholders of record at the close of business on May 23, 2007. Stockholders received one additional
share of Marathon Oil Corporation common stock for each share of common stock held as of the close of
business on the record date. Common share and per share information for all periods presented in the
condensed consolidated statements of income has been restated to reflect the stock split.

3. On June 2, 2006, Marathon sold its Russian oil exploration and production businesses in the Khanty-
Mansiysk region of western Siberia. A gain on the sale of $243 million ($342 million before income taxes)
was reported in discontinued operations in the second quarter of 2006. During the second quarter of
2007, adjustments to the sales price were substantially completed and an additional gain on the sale of $8
million ($13 million before income taxes) was recognized.


Preliminary Supplemental Statistics (Unaudited)
June 30 June 30
2007 2006
(In millions) 2007 2006
Segment Income
Exploration & Production
United States $173 $243 $323 $488
227 416 462 636
International
Total E&P 400 659 785 1,124
Refining, Marketing & Transportation 1,246 917 1,591 1,236
12 17 31 25
Integrated Gas
Segment Income 1,658 1,593 2,407 2,385
Items not allocated to segments, net of taxes:
Corporate and other unallocated items (111) (99) (154) (165)
Gain (loss) on long-term U.K. natural gas contracts (5) (10) 6 35
8 264 8 277
Discontinued operations
Net Income $1,550 $1,748 $2,267 $2,532
Capital Expenditures
Exploration & Production $580 $463 $1,041 $821
Refining, Marketing & Transportation 334 200 551 304
Integrated Gas(a) 34 70 91 164
Discontinued Operations – 19 – 45
14 2 16 19
Corporate
Total $962 $754 $1,699 $1,353
Exploration Expenses
United States $47 $41 $84 $69
68 25 92 68
International
Total $66
$115 $176 $137

(a)
Through April 2007, includes Equatorial Guinea LNG Holdings (EGHoldings) at 100 percent. Effective May 1, 2007, Marathon no
longer consolidates EGHoldings and its investment in EGHoldings is accounted for prospectively using the equity method of
accounting; therefore, EGHoldings’ capital expenditures subsequent to April 2007 are not included in Marathon’s capital
expenditures.


Preliminary Supplemental Statistics (Unaudited) (continued)
June 30 June 30
2007 2006 2007 2006

E&P Operating Statistics
Net Liquid Hydrocarbon Sales (mbpd)(b)
United States 65 79 67 79

34 47 34 38
Europe
100 133 98 103
Africa
134 180 132 141
Total International
Worldwide Continuing Operations 199 259 199 220
– 20 – 25
Discontinued Operations
199 279 199 245
Worldwide

Net Natural Gas Sales (mmcfd)(b)(c)
United States 460 523 485 542

Europe 178 226 213 286
196 52 143 70
Africa
374 278 356 356
Total International
834 801 841 898
Worldwide

Net Sales from Continuing Operations (mboepd) 338 392 339 370
– 20 – 25
Net Sales from Discontinued Operations (mboepd)
338 412 339 395
Total Sales (mboepd)

Average Realizations (d)
Liquid Hydrocarbons (per bbl)
United States $55.19 $59.80 $52.19 $54.52

Europe 61.34 67.52 59.12 65.43
Africa 60.91 65.14 55.79 60.36
Total International 61.02 65.76 56.63 61.74
Worldwide Continuing Operations 59.11 63.95 55.13 59.14
Discontinued Operations – 39.80 – 38.38
Worldwide 59.11 62.19 55.13 57.04

Natural Gas (per mcf)
United States $6.16 $5.35 $6.03 $6.02

Europe 4.47 6.32 5.71 7.13
Africa 0.25 0.25 0.26 0.25
Total International 2.27 5.19 3.51 5.78
Worldwide 4.41 5.29 4.96 5.93

(b)
Amounts represent net sales after royalties, except for Ireland where amounts are before royalties.
(c)
Includes natural gas acquired for injection and subsequent resale of 54 mmcfd and 60 mmcfd for the second quarters of 2007
and 2006, and 47 mmcfd and 50 mmcfd for the first six months of 2007 and 2006.
(d)
Excludes gains and losses on traditional derivative instruments and the unrealized effects of long-term U.K. natural gas contracts
that are accounted for as derivatives.


Preliminary Supplemental Statistics (Unaudited) (continued)
June 30 June 30
(Dollars in millions, except as noted) 2007 2006 2007 2006

RM&T Operating Statistics
Refinery Runs (mbpd)
Crude Oil Refined 1,072 1,038 1,021 968
208 207 217 228
Other Charge and Blend Stocks
Total 1,280 1,245 1,238 1,196
Refined Product Yields (mbpd)
Gasoline 680 663 651 654
Distillates 377 321 350 306
Propane 26 24 23 22
Feedstocks and Special Products 96 125 121 116
Heavy Fuel Oil 27 25 25 24
89 102 83 89
Asphalt
Total 1,295 1,260 1,253 1,211
(e) (f)
Refined Product Sales Volumes (mbpd) 1,426 1,461 1,385 1,439
Matching buy/sell volumes included in above (f) – 11 – 47
Refining and Wholesale Marketing Gross Margin(g)(h) $0.3925 $0.2978 $0.2634 $0.2077
Speedway SuperAmerica LLC
— —
Retail Outlets 1,637 1,637
Gasoline and Distillate Sales(i) 828 816 1,628 1,592
Gasoline and Distillate Gross Margin(g) $0.1029 $0.1019 $0.1121 $0.1037
Merchandise Sales $714 $690 $1,358 $1,300
Merchandise Gross Margin $182 $171 $342 $319

Integrated Gas Operating Statistics
Net Sales
LNG (metric tonnes per day) 1,997 1,106 1,582 1,102
Methanol (metric tonnes per day) 1,107 1,068 1,215 1,103

(e)
Total average daily volumes of all refined product sales to wholesale, branded and retail (SSA) customers.
(f)
As a result of the change in accounting for matching buy/sell arrangements on April 1, 2006, the reported sales volumes will be
lower than the volumes determined under the previous accounting practices.
(g)
Per gallon.
(h)
Sales revenue less cost of refinery inputs, purchased products and manufacturing expenses, including depreciation. As a result
of the change in accounting for matching buy/sell transactions on April 1, 2006, the resulting per gallon statistic will be higher
than the statistic that would have been calculated from amounts determined under previous accounting practices.
(i)
Millions of gallons.


marathon oil 2nd Quarter 2007

More Related Content

marathon oil 2nd Quarter 2007