“The cost of getting things done is astronomically higher for oil and gas than for the greener projects,” he said. “In the longer term it’s bullish for prices, as not enough investment is going into the areas where it should be.”
“Personal claims against directors may be a potential area of growth. Directors will have to take the threat seriously, as they have an impact on their professional and personal lives,” Calvert warned.
Bracewell’s managing partner in London Jason Fox said this was not new “but the noose is tightening quickly and ESG is the headwind. It’s not just the E that’s biting but also the G, for governance, with banks increasingly retreating from emerging markets because of additional risks, particularly concerns around corruption.”
European energy security faces a seemingly impossible task of meeting short-term demand with longer-term decarbonisation. Society does not have the luxury of declaring this to be impossible, though, so must take steps now to meet the challenges.
Europe needs new sources of energy, particularly zero carbon energy, while Namibia offers abundant solar and wind. Can hydrogen bridge the gap, providing scope for both to prosper on the route to net zero?
By Andrej Kormuth, Ronen Lazarovitch and Clint Steyn, partners at Bracewell
The Middle East’s oil and gas has put the region at the heart of the energy sector the last 100 years. These resources, plus plentiful sunshine, will see it continue to play a major role into the energy transition – but there will be bumps along the way.
In a recent judicial review decision, two judges in an English court considered an application by Friends of the Earth (FoE) to quash UK Export Finance’s (UKEF) decision to provide export finance to the Mozambique LNG Project.
As the US Congress has spent the last year debating a slate of proposals to accelerate the transition to a clean energy economy, clean hydrogen has come to the forefront as an energy source that offers a politically and economically feasible path towards decarbonisation.