Financial Times | Deepwater drilling is back. Oil companies are investing heavily in deepwater projects, fueled by new technologies that make deepwater extraction more efficient and less expensive.
The resurgence of offshore oil drilling, also driven by high energy prices and geopolitical events like the war in Ukraine, is worrying environmentalists. They fear the long-term impact of these projects, which could lock in decades of fossil fuel production, contradicting climate goals.
Follow This founder Mark van Baal: “Big Oil’s attitude shows a lack of imagination beyond oil and gas. At a time when the world must rapidly transition away from hydrocarbons, these companies are betting on decades-long fossil fuel projects and pouring huge amounts of capital into a market that will start declining before the end of the decade.”
While the industry believes oil demand will remain strong for decades, critics warn of stranded assets and the need for a rapid transition to renewable energy.
