While oil and gas are not alone in struggling in the economic slump, the reality of the climate crisis is starting to bite, analysts say
The global oil and gas industry has crashed. In mid-June, BP – formerly British Petroleum – slashed the value of its assets by US$17.5bn and revealed plans to cut its workforce by 15%. It forecast the price of oil would be a third lower than expected for decades to come and said it may be forced to leave new fossil fuel discoveries in the ground.
It was later joined by Royal Dutch Shell, which announced its own US$22bn writedown, with its vast gas business – including major liquefied natural gas (LNG) developments in Australia – expected to take the heaviest toll.
Gas may be a transition fuel for some regions, but not at any price and not forever
The obvious question is if Shell and BP can do it, why can’t Australian companies?