Sustainability, Energy Transition, ESG | Weekly Thematic

Cluster F***ed: The Dangerous Scale Component of CCS
July 21, 2021
Companies Mentioned:
Shell, ExxonMobil, Dow, LyondellBasell, CP Chemical, Eastman, Westlake, Borealis, Ineos, TotalEnergies, SABIC, bp, Gevo, Aemetis
Commodities Mentioned:
Subjects Covered:
Recycling, Renewables, Carbon Capture, Emissions, New Energy, The Hydrogen Economy, ESG Investing

C-MACC Weekly “CRETER” (Climate etc.)

Cluster F***ed: The Dangerous Scale Component of CCS

  • As carbon values rise, carbon sequestration plans also rise and a “cluster” trend is developing – good for those who can participate – quite bad for the rest.
  • Teaming up to get real scale in CCS could create a very steep abatement cost difference among companies in the same end markets based on proximity to CCS.
  • Other offset options might be available at disadvantaged locations, but the cost difference would still be very high and create sizable advantages for the lucky ones.
  • We discuss the regulatory waiting game and how it is more important in some areas of energy transition than others – largely dependent on capital risk.
  • Otherwise, the call for more renewable power grows ever louder and we look again at the risk of inflation, as supply tries to keep pace.

See PDF below for all charts 

Client Login

Learn About Our Subscriptions and Request a Trial

to gain full access and experience our services!

Request a Free Trial

Archives