UPDATE 1-ConocoPhillips targets $50 bln free cash flow over next decade

(Adds share price, background on sector)

Nov 19 (Reuters) - ConocoPhillips unveiled its 10-year plan on Tuesday and said it would target free cash flow of about $50 billion with annual capital expenditures averaging less than $7 billion over the next decade.

The Houston-based company's shares rose more than a percent before the bell.

The largest U.S. independent crude producer said it expects to spend about $20 billion on dividends and $30 billion in share buybacks in 10 years.

The announcement comes as investors, frustrated by weak commodity prices for 5 years, have been pressuring oil and gas companies to cut back on drilling and shore up cash to return to shareholders.

The company also forecast annual production growth averaging more than 3% from 2020 to 2029.

ConocoPhillips, which has been divesting assets to focus on its U.S. shale base, had in October posted a quarterly profit that beat analysts' estimates, primarily as higher shale production offset lower crude prices and higher exploration costs. (Reporting by Arathy S Nair in Bengaluru; Editing by Shounak Dasgupta)