NEW YORK - ConocoPhillips announced that it is separating the refining and production portions of the company into separate entities, the Wall Street Journal reports. Other energy companies have recently announced similar moves, including El Paso Corp., Marathon Oil Corp., QuestarCorp. and Williams Cos.

"Consistent with our strategy to create industry-leading shareholder value, we have concluded that two independent companies focused on their respective industries will be better positioned to pursue their individually focused business strategies," said Jim Mulva, ConocoPhillips CEO. Mulva said he would retire once the division is complete.

In March, ConocoPhillips revealed plans to sell non-core assets totaling $5 billion to $10 billion during the next two years. The current separation ?" a tax-free spin-off ?" will be finished by June 2012, pending approval by the IRS and other agencies.

CNNMoney reports that Mulva said the separation would make two "pure play" businesses that would give ConocoPhillips the chance for success "in a changing environment. ?? This has been an evolving process and it's a big step by our company," said Mulva. "We are absolutely convinced that this is the right thing to do for our company and now is the right time to do it."

The separation will form the industry??s biggest business with a single focus on production and exploration of fossil fuels. ConocoPhillips predicts a production of 1.7 million barrels of oil daily this year.