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MOSCOW (MRC) -- BP expects its oil and
gas production to fall by at least 1 million b/d of oil equivalent or 40% over
the next decade, as it transitions to a lower carbon energy company, reported S&P Global with reference to the
company's statement.
Under a new strategy, BP said it will boost
investment on low carbon projects such as renewables, bioenergy by 10-fold to
around USD5 billion/year by 2030 as part of plans to become a "net zero"
emitter.
The move will see BP's upstream oil and gas production fall from
2.6 million boe/d in 2019 to around 1.5 million boe/d while its refining
throughput is expected to fall from 1.7 million b/d in 2019 to around 1.2
million b/d.
"BP has been an international oil company for over a century
- defined by two core commodities produced by two core businesses. Now we are
pivoting to become an integrated energy company - from IOC to IEC," CEO Bernard
Looney said in a statement.
As a result, BP said it expects its emissions
from its operations and those associated with the carbon in its upstream oil and
gas production to be lower by 30-35% and 35-40%, respectively.
BP had
already flagged plans for the "most wide-ranging reorganization in (BP's)
history" on February 5, announcing ambitious targets for the oil major to become
a net-zero carbon emitter by 2050 or sooner.
As MRC
informed previously, global oil demand may have already peaked, according to
BP's latest long-term energy outlook, as the COVID-19 pandemic kicks the world
economy onto a weaker growth trajectory and accelerates the shift to cleaner
fuels.
Earlier this year, BP said the deadly coronavirus outbreak could
cut global oil
demand growth by 40 per cent in 2020, putting pressure on Opec producers and
Russia to curb supplies to keep prices in check.
Ethylene and propylene
are feedstocks for producing polyethylene (PE) and polypropylene
(PP).
ccording to MRC's ScanPlast report,
Russia's estimated PE consumption totalled 1,594,510 tonnes in the first nine
months of 2020, up by 1% year on year. Only high denstiy polyethylene (HDPE)
shipments increased. At the same time, PP shipments to the Russian market
reached 880,130 tonnes in the nine months of 2020 (calculated using the formula:
production minus exports plus imports, exluding producers' inventories as of 1
January, 2020). Supply increased exclusively of PP random copolymer. |
