Will Chevron Be Investing in Renewable Natural Gas and Hydrogen?
From CNBC:
Chevron Chairman and CEO Mike Wirth told CNBC on Wednesday the oil company’s lower-carbon investments focus on areas such as renewable natural gas and hydrogen because it sees significant potential to create shareholder value.
“One of the things we’ve chosen not to go into is wind and solar,” Wirth said in a “Mad Money” interview. “These are technologies that are relatively mature. There is plenty of capital that’s available. The returns in wind and solar are actually being bid down, and we’ve concluded that management in our company can’t create value for shareholders by going into wind and solar.”
Instead of committing capital in those areas, Wirth told host Jim Cramer Chevron would rather the money “go back to our shareholders and let them plant trees, go invest in a wind and solar developer and have the right to do that with a growing dividend that comes out of our company.”
All this makes perfect sense, especially when you consider that Chevron, as well as everybody else, knows that renewable natural gas and hydrogen have no chance for success, and thus their investment in the arena will be very close to zero. Their business model is to suck the last molecule of crude out of the ground, and sell it to someone who will burn it.
Wirth said, “I am a believer that green hydrogen is going to have a big role to play” in the energy transition.
No you don’t, you are a liar.
