Betting on natural gas, Shell leads charge in urging Big Oil to fight pollution
London — After spending $50bn on the world’s biggest bet on natural gas, Royal Dutch Shell is at the forefront of Big Oil’s efforts to clean up its act. But what if the constant, insidious leaks of gas into the atmosphere actually make the fuel more polluting than coal? Methane, the main component in natural gas, can seep into the air at various points between extraction and delivery. Trapping more heat than carbon dioxide, it is a potent contributor to global warming. Yet credible data on the volumes released is scarce, and that’s spurring pressure from investors. "This is such an important issue," said Tim Goodman, a director at asset manager Hermes EOS, who has urged oil companies to address climate matters in their quarterly updates. In 2016, Shell bought BG Group for $54bn as it intensified its focus on gas. While the fuel emits half the CO2 of coal when burnt, it becomes more polluting than coal if just 3.5% of the methane escapes, according to Shell. The company acknowledged ...
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