(Reuters) – Exxon Mobil Corp has created a division to commercialize its technology that will help reduce carbon emissions, as the U.S. major oil is facing efforts to combat climate change amid pressure. rise from investors and entrepreneurs.
The move comes as Exxon looks to fire up its environmental credentials while engaging in a surrogate fight with the No. 1 hedge engine, which is trying to recruit candidates on the board of the oil company and pushing towards a future with a more renewable focus.
Exxon said its Low Carbon Solutions would initially focus on carbon capture and storage and compete directly with Oxy Low Carbon Ventures at Occidental Petroleum Corp., which is looking to develop the largest facility ever to extract carbon dioxide from the atmosphere.
The main oil company said it will invest $ 3 billion on lower emissions solutions through 2025, by which time it expects to reduce the intensity of greenhouse gas emissions by 15% -20% from 2016 levels.
Reporting by Rithika Krishna in Bengaluru; Edited by Ramakrishnan M.