Equinor (EQNR.OL) will increase its share of investments in renewable energy and so-called low-carbon solutions as it seeks to expand its business, the Norwegian oil and gas producer said in an update on Tuesday. of its strategy.
The majority state-owned company, under pressure from private investors as well as some members of the Norwegian parliament to show that it can adapt to a low-carbon future, still expects an increase in oil production and of gas in the medium term. Read more
Equinor has abandoned its explicit target of a 3% annual increase in oil and gas production through 2026, but said production will continue to grow as new fields come into production. By 2030, daily production will be roughly equal to 2020.
By 2030, more than 50% of capital spending will go to renewable energy and low-carbon solutions, ranging from wind power and solar power plants to carbon capture and storage (CCS) that prevents carbon emissions. gases in the atmosphere, he said.
“We will continue to reduce emissions, and in the longer term, Equinor expects to produce less oil and gas than today, recognizing the reduction in demand,” Managing Director Anders Opedal said in a statement. .
“Significant growth in renewable energy and low-carbon solutions will accelerate the pace of change towards 2030 and 2035,” he added.
Equinor will increase its quarterly dividend payment to $ 0.18 per share, from $ 0.15 paid recently, he said. However, the level was still below the pre-pandemic payments of $ 0.27.
The company has advanced a long-term renewable energy goal of reaching 12 to 16 gigawatts (GW) of installed capacity by 2030 compared to 2035 previously, while also promising to increase its dividends and introduce a new share buyback initiative.
“Our strategy is based on clear actions to accelerate our transition while increasing cash flow and returns,” said Opedal.
The company said its net carbon intensity, a measure of the amount of emissions caused per barrel of oil and gas production, would decline 20% by 2030 and 40% by 2035.
He reiterated a 2050 goal of “net zero” emissions.
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