Exxon Mobil has created a division to commercialize its technology that helps reduce carbon emissions, and announced a plan to invest $3 billion in lower-emission solutions through 2025. The company said it would first work on capturing carbon-dioxide emissions from industrial plants, and sequestering the gas so it doesn’t enter the atmosphere and contribute to global warming.
“We have the expertise that can help bring technologies to market and make a meaningful difference,” said Exxon Chief Executive Darren Woods.
Many climate experts believe carbon sequestration will be critical in the fight against global warming.
The United Nations has also said that carbon-capture technology is necessary to limit the increase in global temperature to no more than 1.5 C, the goal of the 2015 Paris Climate Agreement.
U.S. President Joe Biden has promised to tighten regulation of the fossil-fuel industry by mandating fuel-economy standards for cars, among other measures. Exxon’s announcement follows General Motors’ promise to stop selling petroleum-powered vehicles by 2035 and only sell zero-emissions ones. The New York Times has more.
Internationally
Reuters reports that U.K. Prime Minister Boris Johnson will chair a UN Security Council meeting on Feb. 23 about connections between climate change and conflict. The meeting will be held virtually and attended by other members of the security council.
“We want to look in particular at the threats that climate poses to conflict, to peace and security, (and) the way in which droughts lead to famine,” said Britain’s UN ambassador, Barbara Woodward. “Famine and floods can cause displacement, (and) they can cause conflict very easily.”
Colombians are outraged by a death threat on social media against an 11-year-old environmental activist. Two years ago, Francisco Vera and six friends marched to the park in his hometown of Villeta, carrying signs and chanting slogans about climate change. Vera has been compared to teenage Swedish environmental activist Greta Thunberg. The Associated Press has the full story.
According to the Guardian, technology that uses an artificial blowhole to harness wave energy is being tested on a remote Tasmanian island. The project is backed by the Australian Renewable Energy Agency and private investors, and there are hopes it can be used across Australia’s southern coastline.
“It’s very much like an artificial blowhole,” said Wave Swell Energy’s co-founder, Tom Denniss. “There’s a big underwater chamber that’s open out the front, so the water is forced into the chamber. It pushes that air back and forth. The movement of air spins the turbine and produces electricity.”
Calgary-based Prosper Petroleum Ltd. is suing the Alberta government for $400 million, claiming that “public officials strung it along as it sought approval for an oilsands project while they worked behind the scenes to thwart the development.”
It’s the second time the energy company has taken the province to court over its proposed Rigel project, which would produce around 10,000 barrels of oil a day near Fort McMurray. Last time, the Alberta Court of Appeal said the project should not have been approved by Alberta’s energy regulator because it encroaches on traditional Fort McKay First Nation land.
The lawsuit says the province “withheld material information” that it knew, or should have known, would undermine the project.
Sustainable Marine, whose Canadian office is in Dartmouth, N.S., says the project could supply electricity to 3,000 homes. The federal government contributed $28.5 million to the project in November.
Finally, the Vancouver Sun reports that Sierra Club B.C. wants clearcut logging in the province to end, because the practice reduces a landscape’s ability to retain water and leads to water shortages.
TORONTO – Canada’s main stock index was down more than 200 points in late-morning trading, weighed down by losses in the technology, base metal and energy sectors, while U.S. stock markets also fell.
The S&P/TSX composite index was down 239.24 points at 22,749.04.
In New York, the Dow Jones industrial average was down 312.36 points at 40,443.39. The S&P 500 index was down 80.94 points at 5,422.47, while the Nasdaq composite was down 380.17 points at 16,747.49.
The Canadian dollar traded for 73.80 cents US compared with 74.00 cents US on Thursday.
The October crude oil contract was down US$1.07 at US$68.08 per barrel and the October natural gas contract was up less than a penny at US$2.26 per mmBTU.
The December gold contract was down US$2.10 at US$2,541.00 an ounce and the December copper contract was down four cents at US$4.10 a pound.
This report by The Canadian Press was first published Sept. 6, 2024.
TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in technology, financial and energy stocks, while U.S. stock markets also pushed higher.
The S&P/TSX composite index was up 171.41 points at 23,298.39.
In New York, the Dow Jones industrial average was up 278.37 points at 41,369.79. The S&P 500 index was up 38.17 points at 5,630.35, while the Nasdaq composite was up 177.15 points at 17,733.18.
The Canadian dollar traded for 74.19 cents US compared with 74.23 cents US on Wednesday.
The October crude oil contract was up US$1.75 at US$76.27 per barrel and the October natural gas contract was up less than a penny at US$2.10 per mmBTU.
The December gold contract was up US$18.70 at US$2,556.50 an ounce and the December copper contract was down less than a penny at US$4.22 a pound.
This report by The Canadian Press was first published Aug. 29, 2024.
The crypto market has recently experienced a significant downturn, mirroring broader risk asset sell-offs. Over the past week, Bitcoin’s price dropped by 24%, reaching $53,000, while Ethereum plummeted nearly a third to $2,340. Major altcoins also suffered, with Cardano down 27.7%, Solana 36.2%, Dogecoin 34.6%, XRP 23.1%, Shiba Inu 30.1%, and BNB 25.7%.
The severe downturn in the crypto market appears to be part of a broader flight to safety, triggered by disappointing economic data. A worse-than-expected unemployment report on Friday marked the beginning of a technical recession, as defined by the Sahm Rule. This rule identifies a recession when the three-month average unemployment rate rises by at least half a percentage point from its lowest point in the past year.
Friday’s figures met this threshold, signaling an abrupt economic downshift. Consequently, investors sought safer assets, leading to declines in major stock indices: the S&P 500 dropped 2%, the Nasdaq 2.5%, and the Dow 1.5%. This trend continued into Monday with further sell-offs overseas.
The crypto market’s rapid decline raises questions about its role as either a speculative asset or a hedge against inflation and recession. Despite hopes that crypto could act as a risk hedge, the recent crash suggests it remains a speculative investment.
Since the downturn, the crypto market has seen its largest three-day sell-off in nearly a year, losing over $500 billion in market value. According to CoinGlass data, this bloodbath wiped out more than $1 billion in leveraged positions within the last 24 hours, including $365 million in Bitcoin and $348 million in Ether.
Khushboo Khullar of Lightning Ventures, speaking to Bloomberg, argued that the crypto sell-off is part of a broader liquidity panic as traders rush to cover margin calls. Khullar views this as a temporary sell-off, presenting a potential buying opportunity.
Josh Gilbert, an eToro market analyst, supports Khullar’s perspective, suggesting that the expected Federal Reserve rate cuts could benefit crypto assets. “Crypto assets have sold off, but many investors will see an opportunity. We see Federal Reserve rate cuts, which are now likely to come sharper than expected, as hugely positive for crypto assets,” Gilbert told Coindesk.
Despite the recent volatility, crypto continues to make strides toward mainstream acceptance. Notably, Morgan Stanley will allow its advisors to offer Bitcoin ETFs starting Wednesday. This follows more than half a year after the introduction of the first Bitcoin ETF. The investment bank will enable over 15,000 of its financial advisors to sell BlackRock’s IBIT and Fidelity’s FBTC. This move is seen as a significant step toward the “mainstreamization” of crypto, given the lengthy regulatory and company processes in major investment banks.
The recent crypto market downturn highlights its volatility and the broader economic concerns affecting all risk assets. While some analysts see the current situation as a temporary sell-off and a buying opportunity, others caution against the speculative nature of crypto. As the market evolves, its role as a mainstream alternative asset continues to grow, marked by increasing institutional acceptance and new investment opportunities.
