Global oil CEOs stress need for fossil fuels despite push for cleaner energy

HOUSTON – A

global


energy

conference devoted to future technologies and low-carbon strategies kicked off in Houston on Monday with top executives from

energy

companies affirming the

need

for more

oil

for decades to come.

The World Petroleum Conference’s four days of discussion started with chief executives from

global

giants Exxon Mobil Corp, Saudi Aramco, Chevron Corp and Halliburton Co all promoting the

need

to deliver

oil

and gas

global

ly even as the world transitions to

cleaner


fuels

.

World

fossil

fuel demand has rebounded sharply in 2021, with natural gas already at pre-pandemic levels and

oil

nearing levels reached in 2019. As demand has soared, economies in Europe and Asia have had to face power and heating supply shortages, forcing them to scramble for fuel or limit demand, and prices have surged. At the same time, numerous large

oil

-producing countries have not been able to keep up with output targets.

“The world is facing an even more chaotic

energy

transition,” said Saudi Aramco CEO Amin Nasser. “

Energy

security, economic development and affordability are clearly not receiving enough attention. Until they are, and we clear the gaps in the transition strategy, the chaos will only intensify.”

Large

global

majors, especially those based in Europe, are limiting exploration and production in an attempt to shift to renewable power development and as governments promote efforts to cut carbon emissions to deal with rising worldwide temperatures.

Anders Opedal, CEO of Norway’s Equinor, said

energy

companies have a responsibility to bring down emissions and provide

energy

. “We will

need


oil

and gas for many years to come but with reduced emissions,” he said.

Exxon is targeting net zero greenhouse gas emissions from its U.S. Permian assets by 2030, as part of a plan to reduce upstream emissions.

“The fact remains, under most credible scenarios, including net zero pathways,

oil

and natural gas will continue to play a significant role in meeting society’s

need

,” Exxon CEO Darren Woods said at the conference.

More than 80% of the world’s

energy

demand is supplied by

oil

and gas, said Stephen Green, Chevron’s head of North America exploration and production. Chevron is committed to reducing carbon emissions until “game changing technologies” allow a lower carbon

energy

environment, Green said.

“The world will continue to

need


energy

to get us through the transition,” he said.

FIRST MOVERS

U.S. officials took the opportunity to talk about President Joe Biden’s clean

energy

agenda while insisting on the

need

to address high fuel prices. The Biden administration has had a strained relationship with the

fossil

fuel industry in its first year in office.

Oil

majors

need

to “step on to the plate” and be part of the climate solution, said David Turk, deputy U.S. Secretary of

Energy

. “First movers will have significant advantages.”

Washington will not “stand in the way” of companies willing to increase domestic

oil

production as the industry tries to fully recover, he said.

“We

need

to make sure everyone has affordable, reliable and resilient

energy

,” he said.

The conference was sapped of some of its star power at the outset due to COVID-19 travel restrictions that forced OPEC’s secretary general and

energy

ministers from top

oil

producing nations like Saudi Arabia, Kazakhstan and Qatar, to bow out, along with the

CEOs

of BP, Sonatrach and Qatar

Energy

. –

Reuters