BP’s Oil, Gas Output to Fall 40% by 2030 amid Transition to Carbon Energy Company

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, the company said.

Under a new strategy announced August 4, BP said it will boost investment on low carbon projects such as renewables, bioenergy by 10-fold to around $5 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…

View entirety: S&P Global Platts