Ryan M. Lance
Chairman and Chief Executive Officer at ConocoPhillips
Well, thank you, Mark. And for those -- Mark has elected to retire. So I want to start off by really thanking him for more than 30 years of dedicated service to our company and wish him well in retirement. And at the same time, I'd like to warmly welcome Phil Gresh, who will be joining our team next month as Vice President of Investor Relations. Now before I get into the results for the quarter, I'd also like to touch on a few things that continue to be top of mind for us. The ongoing tragic invasion in Ukraine and the residual implications from COVID have significantly impacted supply chains around the world, with shock waves driving both product shortages and elevated levels of volatility, including large swings in commodity prices. The combination of these factors has brought into sharp focus their critical importance of U.S. and global energy security and reliability. By fulfilling our triple mandate of responsibly and reliably meeting energy transition pathway demand, delivering competitive returns on and of capital and progressing towards achieving our net zero operational emissions ambition, we're playing a key role in providing secure, dependable energy solutions that are clearly needed around the globe.
The guiding principles of our triple mandate were key to our recent actions and announcements regarding global LNG supply capacity, as the use of natural gas in place of coal and refining products represents an opportunity for significant reductions in greenhouse gas emissions around the world. We believe this reality is going to drive increasingly strong global LNG demand and related opportunities well into the future. As recently announced, we entered into an HOA with Sempra for a possible investment in the Port Arthur LNG project that's currently underway. The potential investment is designed to leverage our company's considerable strength as one of the largest gas producers and marketers in North America, while expanding our global LNG business. This potential investment is expected to be project financed and, if executed, would afford us the opportunity to participate in additional strategically located LNG projects as well as to jointly pursue related emissions reduction opportunities.
That announcement followed our recently completed 10% ownership increase in APLNG, as well as our selection to participate in Qatar's North Field East project, adding to our long positive relationship with QatarEnergy. Our recent decision to join the OGMP 2.0 initiative is also in service to achieving our triple mandate, as reducing greenhouse gas emissions, including methane is an imperative for our company and our sector. Applying the rigorous OGMP 2.0 reporting standard, which incorporates third-party verification will be a vital step on our path to net zero operational emissions. Now before I turn the call over to Bill to cover the second quarter performance, let's discuss for a moment on the equally important returns element of our triple mandate. Looking at, first, at returns on capital, we generated a trailing 12-month ROCE of 24% in the quarter, five points higher than the 19% we delivered last quarter. Turning next to our returns of capital. Once again, we've increased our targeted 2022 distributions to shareholders, taking the total full year expected returns to $15 billion.
This represents a 50% increase from the target announced last quarter with the $15 billion to be distributed across our three tiers of ordinary dividends, share repurchases and VROC. At current strip prices, this represents a return to shareholders of slightly more than 50% of our Projected CFO for the year. Our commitment to achieving our triple mandate is unwavering and delivering competitive returns on and of capital to our shareholders through the cycles is a key component of that commitment. Now let me turn it over to Bill to cover our overall performance for the quarter.