Oil Companies Line Up For Billions7 Mar 2023 16:49
Good article on carbon capture from the Financial Times today… ‘Oil companies line up for billions of dollars in subsidies under US climate law’
“An oil industry that opposed President Joe Biden’s signature climate law is now manoeuvring to claim billions of dollars of US tax credits established by the legislation.
The Inflation Reduction Act, passed in 2022, aims to slash greenhouse gas emissions by supercharging clean energy industries. Its $369bn in climate provisions has sparked new investments in renewable power generation and in manufacturing everything from electric vehicle batteries to solar panels.
But the law also includes generous incentives for a set of lower-carbon technologies and fuels where oil and gas executives argue they hold a big advantage. Oil companies are starting to plough cash into projects to capture and lock away carbon dioxide, to retool refineries for making biofuels, and produce low-emission hydrogen, all supported by the IRA’s green subsidies.
“There’s a lot of activity in this space, a lot of interest, particularly with the IRA,” ExxonMobil chief executive Darren Woods told investors last month.
“I think we’re very well positioned there,” he said. “This is not a game for start-ups. These are large, world-scale projects that require the kind of project expertise that we have, require the kind of size and balance sheet capacity that we have.””
https://www.ft.com/content/28b3a8d9-9c5f-4578-a6c6-7b848b3fe700
And there’s little old COPL with a field with 1bn+ barrels of oil in it and a Frontier formation that is excellent for CO2 storage…
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