Which energy assets will be stranded? – by Terence Corcoran (Financial Post – May 4, 2022)


Coal, oil and gas versus windmills, EVs and carbon sequestration

Oilprice.com covered the latest energy trends Monday with a report that U.S. investment giant Warren Buffett is “betting big on oil and gas stocks.” One assumes that Buffett is not a follower of Mark Carney, former central banker and chief proponent of climate financial strategies based on the assumption that fossil fuels will become stranded assets and should be divested ASAP.

Back in 2015, as governor of the Bank of England, Carney warned of a “potentially huge” risk that reserves of coal, oil and gas could become “literally unburnable.” Carney has continued to present a fossil-fuel doom scenario since his 2015 warnings, telling banks to get out of the oil and gas corporations that risk bankruptcy.

As recently as last October, Carney was joined by a bevy of Canadian bank CEOs who rushed to sign on to Carney’s Net-Zero Banking Alliance and participate in the great move away from fossil fuels and join a global financial industry transition to green renewable energy.

According to oilprice.com, Buffett is moving in the other direction. After decades of plowing money into the banking industry, Buffett is now unloading bank and investment stocks and taking new multi-billion stakes in computing companies and energy stocks.

For the rest of this article: https://financialpost.com/opinion/terence-corcoran-which-energy-assets-will-be-stranded