• 4 minutes 2nd Annual Great Oil Price Prediction Challenge of 2019
  • 7 minutes Nucelar Deal Is Dead? Iran Distances Itself Further From ND, Alarming Russia And France
  • 10 minutes Don Jr. Tweets name Ukraine Whistleblower, Eric Ciaramella. Worked for CIA during Obama Administration, Hold over to Trump National Security Counsel under Gen McCallister, more . . . .
  • 13 minutes Shale pioneer Chesepeak will file bankruptcy soon. FINALLY ! The consolidation begins
  • 25 mins EU has already lost the Trump vs. EU Trade War
  • 5 mins More dumbed down? re Hong Kong Act of Congress
  • 16 hours Impeachment S**te
  • 45 mins Pope Proposes New Sin: Thou Shalt Not Destroy The Harmony Of The Environment
  • 3 hours Article: Did Exxon only make $39 Million onshore U.S. last quarter ?
  • 23 hours 55.00 WTI
  • 7 hours Visualizing Pennsylvania Oil & Gas Production (Through September 2019)
  • 4 hours U.S. Shale To Break Records Despite Bearish Rhetoric
  • 1 day Water, Trump, and Israel’s National Security
  • 1 day Everything You Need To Know About Trump
  • 2 hours Last I Checked
  • 2 days IEA predicts oil demand will grow annually at 1 million barrels a day for the next 5 years
  • 2 days Pioneer's Sheffield in Doghouse. Oil upset his bragging about Shale hurt prices. Now on campaign to lower expectations, prop up price.
  • 36 mins Petroleum Industry Domain Names
  • 40 mins What are the odds of 4 U.S. politicians all having children working for Ukraine Gas Companies?

Breaking News:

China’s Hunger For Coal Is Growing

The No.1 Bottleneck For Clean Energy Tech

The No.1 Bottleneck For Clean Energy Tech

Clean energy technology offers the…

Chesapeake Isn’t Dead Yet…

Chesapeake Isn’t Dead Yet…

Chesapeake, one of the hardest…

Paris Agreement Could Trigger Free Fall In Oil Demand

Paris

Crude oil demand could begin declining steadily from 2025 onwards if governments and industries get serious about tackling climate change and reducing emissions, asset manager Legal and General Investment Management has warned.

Reuters quoted the company as saying if everyone who signed the Paris Agreement on Climate Change decides to really fulfill their commitments by implementing new policies and shrinking the use of fossil fuels, oil demand could shed as much as 40 percent by the early 2040s from today’s levels. This means it would stand at around 60 million barrels daily.

If, however, there is no change in policies concerning climate change, crude oil demand would likely peak at some 110 million bpd around 2030, the asset manager said in a study of the issue. The study aimed at identifying companies that would both benefit from stricter environmental policies and not suffer any negative consequences if no such policies are enforced.

Both of these scenarios are less realistic than a middle one, in which governments continue to enforce new policies aimed at arresting the rise in average global temperatures but not at the optimal pace and with the optimal scope.

“It’s hard to argue that if oil demand starts to go into free fall, which is what we see as plausible, that ... the oil and gas industry as a whole remains as intrinsically as profitable as it does today,” the head of commodity research at Legal and General Investment Management, Nick Stansbury, told Reuters.

Stansbury added oil companies even stand to benefit from pro-environment policies if they re-orient themselves ahead of the changes such policies bring about. No wonder we are seeing Big Oil expand into non-core business areas that it plans to turn into core business in the future. The latest big announcement here was Shell’s plan to become the world’s largest power utility.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play