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3 Major Integrated Firms Leading the Energy Transition
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Global economies are progressively shifting toward cleaner energy sources, and energy companies are facing growing pressure to address climate change from various angles. While most analysts agree that renewable energy will play a significant role in meeting future energy demands, it is unlikely to entirely eliminate the need for oil and natural gas. Fossil fuel demand is expected to continue growing, albeit at a slower rate.
The U.S. Energy Information Administration, in its Annual Energy Outlook 2023, stated that through 2050, renewables will increasingly match power demand. Thus, there are abundant opportunities for energy companies with a footprint in oil and gas resources or transporting commodities and the renewable energy space. Three such companies are BP plc (BP - Free Report) , Shell plc (SHEL - Free Report) and Eni SpA (E - Free Report) . Thus, investors should keep an eye on these three energy firms as they are well poised to gain in the long run.
3 Stocks to Watch
BP, a Britain-based energy giant, is planning to become a net-zero emissions player by 2050 or earlier. The integrated company intends to invest and create its renewable energy generation capacity of 20 gigawatts by 2025. The company also has strong upstream and downstream activities.
Shell also has the same ambitious target of becoming a net-zero emissions energy player by 2050 or earlier. By 2030, the integrated energy company plans to lower absolute emissions by 50%.
Eni is leading the energy transition as well. The integrated energy player has been building a full set of decarbonized products and services for clients to achieve carbon neutrality by mid-century. Even though the energy business scenario is challenging, Eni’s efficient exploration keeps it highly competitive.
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3 Major Integrated Firms Leading the Energy Transition
Global economies are progressively shifting toward cleaner energy sources, and energy companies are facing growing pressure to address climate change from various angles. While most analysts agree that renewable energy will play a significant role in meeting future energy demands, it is unlikely to entirely eliminate the need for oil and natural gas. Fossil fuel demand is expected to continue growing, albeit at a slower rate.
The U.S. Energy Information Administration, in its Annual Energy Outlook 2023, stated that through 2050, renewables will increasingly match power demand. Thus, there are abundant opportunities for energy companies with a footprint in oil and gas resources or transporting commodities and the renewable energy space. Three such companies are BP plc (BP - Free Report) , Shell plc (SHEL - Free Report) and Eni SpA (E - Free Report) . Thus, investors should keep an eye on these three energy firms as they are well poised to gain in the long run.
3 Stocks to Watch
BP, a Britain-based energy giant, is planning to become a net-zero emissions player by 2050 or earlier. The integrated company intends to invest and create its renewable energy generation capacity of 20 gigawatts by 2025. The company also has strong upstream and downstream activities.
Shell also has the same ambitious target of becoming a net-zero emissions energy player by 2050 or earlier. By 2030, the integrated energy company plans to lower absolute emissions by 50%.
Eni is leading the energy transition as well. The integrated energy player has been building a full set of decarbonized products and services for clients to achieve carbon neutrality by mid-century. Even though the energy business scenario is challenging, Eni’s efficient exploration keeps it highly competitive.