Here’s a sight that hasn’t been seen since 1994: shares in BP priced at less than 200p. The stock, 480p at the start of this year before the Covid recession hammered the oil price, closed on Wednesday at 199.96p. Even as recently as August, a sub-£2 moment seemed unlikely. That was when the new-ish chief executive, Bernard Looney, pitched to investors his plan to make BP a net zero carbon company by 2050. The rejig seemed to go down well. Despite the inevitable cut in the dividend, BP’s shares were briefly steady at 300p. There was talk about the company acting just in time to save itself from oblivion. Investments in low-carbon assets, mainly offshore wind and solar, will rise tenfold to $5bn (£3.8bn) a year by 2030 under Looney’s plan. Output from fossil fuels is expected to fall 40% from 2019 levels. And BP will get bigger in convenience stores attached to filling stations and “mobility”, meaning charging points for electric vehicles.
Guardian 21st Oct 2020 read more »
Peak oil is coming – it’s just a question of when. Global demand for oil might run dry before reserves in the North Sea do. However, the more pertinent question the North Sea and global oil industry as a whole now face is will there still be a growing market to justify investment into producing this black gold in 2040 and beyond?
Telegraph 22nd Oct 2020 read more »