ExxonMobil says fossil fuels needed to meet global energy demand
All energy sources, including carbon-based fuels, are necessary to meet future global energy demand growth as society manages the risks of climate change, ExxonMobil said this week in two reports to shareholders outlining the company’s business planning and risk assessment practices.
“Our analysis and those of independent agencies confirms our long-standing view that all viable energy sources will be essential to meet increasing demand growth that accompanies expanding economies and rising living standards,” said William Colton, ExxonMobil’s vice president of corporate strategic planning, in a released statement. “It is equally essential that society manages the risk of climate change by increasing energy efficiency and by investing in research into technologies to reduce greenhouse gas emissions.”
The reports to shareholders outline how the company plans capital expenditures, assesses and plans for policies limiting greenhouse gas emissions and works to reduce emissions. They also include information such as distribution of reserves by asset location and type.
The reports also detail ExxonMobil’s efforts to reduce greenhouse gas emissions through increased efficiency and production of lower-carbon fuels, notably natural gas, and by helping consumers of carbon-based fuels reduce their emissions.
Release of the reports is part of an ongoing dialogue between ExxonMobil and shareholders about important matters such as the company’s long-term supply and demand forecasts, business plans and views on climate change. Information included in the reports is available in a variety of existing materials including ExxonMobil’s Outlook for Energy, its 2013 Financial and Operating Review, the company website and in its annual Form 10-K regulatory filing.
The reports point out that ExxonMobil’s Outlook for Energy and all credible forecasts, including that of the International Energy Agency, predict that carbon-based fuels will continue to meet about three-quarters of global energy needs through 2040.
“The risk of climate change is clear and the risk warrants action,” said Colton. “ExxonMobil is taking action by reducing greenhouse gas emissions in its operations, helping consumers reduce their emissions, supporting research that leads to technology breakthroughs and participating in constructive dialogue on policy options.”
“All of ExxonMobil’s current hydrocarbon reserves will be needed, along with substantial future industry investments, to address global energy needs,” said Colton.
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Hydrostor receives $4m funding for A-CAES facility in Canada
Hydrostor has received $4m funding to develop a 300-500MW Advanced Compressed Air Energy Storage (A-CAES) facility in Canada.
The funding will be used to complete essential engineering and planning, and enable Hydrostor to plan construction.
The project will be modeled on Hydrostor’s commercially operating Goderich storage facility, providing up to 12 hours of energy storage.
Hydrostor’s A-CAES system supports Canada’s green economic transition by designing, building, and operating emissions-free energy storage facilities, and employing people, suppliers, and technologies from the oil and gas sector.
The Honorable Seamus O’Regan, Jr. Minister of Natural Resources, said: “Investing in clean technology will lower emissions and increase our competitiveness. This is how we get to net zero by 2050.”
A-CAES has the potential to lower greenhouse gas emissions by enabling the transition to a cleaner and more flexible electricity grid. Specifically, the low-impact and cost-effective technology will reduce the use of fossil fuels and will provide reliable and bankable energy storage solutions for utilities and regulators, while integrating renewable energy for sustainable growth.
Curtis VanWalleghem, Hydrostor’s Chief Executive Officer, said: “We are grateful for the federal government’s support of our long duration energy storage solution that is critical to enabling the clean energy transition. This made-in-Canada solution, with the support of NRCan and Sustainable Development Technology Canada, is ready to be widely deployed within Canada and globally to lower electricity rates and decarbonize the electricity sector."
The Rosamond A-CAES 500MW Project is under advanced development and targeting a 2024 launch. It is designed to turn California’s growing solar and wind resources into on-demand peak capacity while allowing for closure of fossil fuel generating stations.
Hydrostor closed US$37 million (C$49 million) in growth financing in September 2019.