· 2 min read
illuminem summarizes for you the essential news of the day. Read the full piece on ESG News or enjoy below:
🗞️ Driving the news: BP has scrapped its target to reduce oil and gas production by 2030, shifting its focus back to hydrocarbon investments in response to market pressures and investor demands
• The company will invest more heavily in regions like the U.S. Gulf of Mexico and the Middle East. Despite this, BP remains committed to its long-term goal of achieving net-zero emissions by 2050
🔭 The context: BP's pivot comes under the leadership of CEO Murray Auchincloss, who seeks to boost profitability after a year of underperformance in BP's share price
• This strategy aligns with broader industry trends, where oil majors like Shell are adjusting their energy transition plans amid global economic challenges
🌍 Why it matters for the planet: The decision underscores a shift in balancing energy transition goals with immediate fossil fuel demand, potentially slowing down climate progress while prioritizing energy security
⏭️ What's next: BP plans to unveil more detailed production and investment strategies in February 2025, clarifying its long-term operational focus
💬 One quote: “The direction is the same – but we are going to deliver as a simpler, more focused, and higher value company” - BP spokesperson
📈 One stat: BP's Kaskida project in the U.S. Gulf of Mexico is expected to produce 80,000 barrels per day by 2029.
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