This report examines the oil and gas industry’s expansion plans over the next five years, from 2020 to 2024. It finds the sector plans to invest USD 1.4 trillion into new extraction projects. This would lock in 148 gigatonnes of cumulative carbon dioxide emissions, equivalent to 1200 new US coal-fired power plants. The report reveals 85 percent of the expanded production is slated to come from the United States and Canada over that period. The other countries where the largest expansion is planned are Argentina, China, Norway, Australia, Mexico, UK, Brazil, Nigeria.
The report, Oil, Gas and The Climate: An Analysis of Oil and Gas Industry Plans for Expansion and Compatibility with Global Emission Limits, finds that:
- Carbon emissions from oil and gas in existing fields and mines take the world beyond 1.5°C of warming and nearly exhaust a 2°C carbon budget.
- Between 2020 and 2024, the oil and gas industry plans to sink USD 1.4 trillion into new extraction projects.
- 85 percent of the expanded production is slated to come from the United States and Canada over that period. The other countries where the largest expansion is planned are Argentina, China, Norway, Australia, Mexico, UK, Brazil, Nigeria.
- New financial investment decisions over this five-year period have the potential to unlock more than 148 gigatonnes of carbon emissions (GtCO2) from currently undeveloped reserves before 2050, equivalent to building over 1200 new average U.S. coal-fired power plants.
- This new production could result in warming beyond 2°C unless the industry rapidly shuts down considerable levels of existing production.
- Twenty-five companies are responsible for nearly 50 percent of the production to 2050 resulting from new expansion of oil and gas in the next five years. These include supposedly progressive European oil majors such as Shell, BP, Total, Equinor.