Exxon Mobil: In 2040, Oil Still Reigns
February 02 2018 - 5:54PM
Dow Jones News
By Aisha Al-Muslim
Oil will continue to play a leading role in the world's energy
mix by 2040 despite growth in the production of energy from
renewable sources, Exxon Mobil Corp. said Friday.
The findings are part of Exxon's energy and carbon summary and
its outlook for energy into 2040.
Shareholders had approved a resolution at Exxon's annual meeting
last year for the company to share more information about how
climate change and regulations could affect business. Exxon said
that oil and natural gas will continue to supply about 55% of
world's energy needs in 2040. Oil demand will rise about 20%,
driven by commercial transportation and chemicals, the company
said.
Exxon analyzed scenarios that included drastic limits to future
greenhouse-gas emissions and the kinds of changes in world-wide
energy use that would be needed to avoid significant increases in
global atmospheric temperatures.
"Our job is to supply the energy the world needs in an
environmentally responsible way," Chief Executive Darren Woods said
in prepared remarks. "It's a dual challenge--we need to meet
society's growing need for energy while addressing the risks of
climate change."
In 2040, global carbon-dioxide emissions are likely to peak at
about 10% above 2016 levels as energy sources shift toward
lower-emission fuels such as natural gas, renewables and nuclear,
Exxon said. Nuclear and renewable energy sources are likely to
account for nearly 40% of the growth in global energy demand, the
company said.
Electricity from solar and wind will grow about 400%. While the
electricity generated from coal will fall to less than 30% in 2040
from 40% in 2016.
Electrification of full hybrid, plug-in hybrid, and
electric-only vehicles is anticipated to approach about 40% of
global light-duty vehicle sales in 2040, compared with about 3% in
2016. Exxon said that since 2000, it has invested about $8 billion
to develop technologies, such as carbon capture and algae biofuels,
to lower-emissions.
Shares fell 5.1% to $84.53 Friday as the company reported a
quarterly profit that fell short of analysts' expectations.
Write to Aisha Al-Muslim at aisha.al-muslim@wsj.com
(END) Dow Jones Newswires
February 02, 2018 17:39 ET (22:39 GMT)
Copyright (c) 2018 Dow Jones & Company, Inc.
Exxon Mobil (NYSE:XOM)
Historical Stock Chart
From Mar 2024 to Apr 2024
Exxon Mobil (NYSE:XOM)
Historical Stock Chart
From Apr 2023 to Apr 2024