Vermilion Energy Inc T.VET

Allianz Group To Quit Backing New Oil and Gas Fields

[geezer21]

https://www.zerohedge.com/commodities/allianz-halt-insurance-oil-gas-projects-2023-amid-worsening-supply-outlook

Allianz To Halt Insurance For Oil, Gas Projects In 2023 Amid Worsening Supply Outlook

by Tyler Durden

Friday, Apr 29, 2022 - 02:15 PM

The Allianz Group, one of the world's largest insurers and asset managers, published a statement Friday detailing how it will no longer insure and invest in new oil and gas fields starting in 2023. This comes at the worst possible time for extremely tight oil markets as Russian production drops due to hard-hitting Western sanctions, igniting fuel shortages in Europe, the US East Coast, and other parts of the world. 

Allianz said it won't offer new single-site and stand-alone property insurance and casualty insurance coverages (and renew existing contracts after July 1, 2023) and will halt new funding for exploration and development of new oil and new gas fields (upstream), construction of new midstream infrastructure related to oil, construction of new oil power plants, and projects in the Arctic. 

The new guidelines come as the company is "accelerating the deployment of its climate strategy and has announced new ambitious commitments in both its core business and operations ... limit the greenhouse gas emissions (GHG) deriving from Allianz's sites and activities in over 70 markets to net-zero by 2030, instead of 2050 as originally planned."

[Oldnagger]

First class hypocites and masochists IMHO . Look at what  policies (0r lack of policies, pun intended) such as theirs have done in Europe last winter !! https://www.barchart.com/futures/quotes/INKK22/interactive-chart

[Oldnagger]

Why do I say hypocrites ? Look at the energy their nearly all glass buildings consume   https://upload.wikimedia.org/wikipedia/commons/6/60/Allianzberlin.jpg

[Oldnagger]

Suppose that all further O&G drilling were forced to cease . What would be VET's value based on blowing down PDP reserves. Well since I don't have data for the latest acquisitions ,I will use the dec 31 reserves of 188 million barrels. Which at a price of $1000 per barrel gives 188 billion dollars or over $1100 per share !! Depending on how much of the 23 million barrels we are

[Oldnagger]

Of course, all these calculations are just conjecture. Surely other financial institutions won't follow the path set out by Allianz. Wouldn't they? https://www.vox.com/23046282/banks-climate-shareholder-votes-fossil-fuels

[Quintessential1]

Being that they are German based I would say they are well aware of the plight of European Energy. You of course are right though,  they should have offices underground in geothermal caves. I would think the next obvious step for an O&G, E&P, dripping with cash would be to self insure. It may cost less and create much less hassle in the future. GLTA

[Pandora]

More short sighted ideology driving "going green" without logic and common sense. How will it affect the food chain? Likely with much higher costs -- but then it's only the peoples money, why should a dreamer ideological government worry about money and practicalities? "The practical considerations for diesel powered farm equipment when the overbearing push is for electric

[Oldnagger]

Just a short personal anecdote from my youth. One summer I got a job driving a tractor for a local fruit and vegetable farmer. The job was essentially sun up to sun down in some patch out of town. he drove me out every morning at sunrise and picked me up every evening at dusk. Round and round all day and all week long. some provisions to keep both the tractor and I going and that was all

[whoLuLu]

i think you still have a bit of that boy in you yet