Oil and gas professionals Hamish Wilson, Bill Senior, Tony Smith, Martin Dru and Sarah Milne have launched BluEnergy, which is committed to enabling oil and gas companies to leverage their existing asset base to create low carbon energy streams, generating value whilst reducing carbon intensity.
“Our focus is to identify low carbon investment opportunities where companies already have a competitive advantage through in-country relationships and capital project capability,” Mr Wilson, Co-Founder of BluEnergy, said. “These can bring commercial advantage when deploying the following established low-carbon technologies through early entry in emerging markets such as solar and wind”.
The challenge facing oil and gas companies has been thrown into sharp relief by the recent COVID-19 crisis, with companies fighting for survival, seeing cash flow, investor returns, supply chain, and the fundamental value proposition under threat with a highly volatile earnings stream and borrowing base. In contrast, companies with high proportions of renewable energy in their portfolios not only suffered less during the crash, but have quickly returned to pre COVID-19 levels. The founders of BluEnergy, along with many other experienced industry professionals, believe companies that do not embrace the opportunities presented by the energy transition, and grow broader asset portfolios, may not survive long term. The founders do, however, believe that oil and gas companies are ideally placed to lead the transition, and that it is time to move on from simply discussing the energy transition to actively design and implement strategies that protect and sustain both the industry and the world.
“We are passionate about the energy transition and we know that oil and gas companies have the global reach, scale and skills to lead the energy transition” Mr Smith, Co-Founder, said. “We recognize the cultural challenges in embracing this strategic move that starts the journey to the long-term transformation of the energy sector. BluEnergy is focused on delivering tangible low-carbon projects, and we believe we are well-positioned to support the oil and gas industry in moving towards a lower carbon intensity future and a more resilient share price.”