Revealed: How many fossil fuel firms plan to pump more oil and gas

Most of the other companies are actually on course to pump more fossil fuels in the near term, the study by financial think tank Carbon Tracker also found.

It says they have earmarked a combined $166bn (£136bn) for increased extraction of oil and gas, which emit climate-heating greenhouse gases when burned for energy.

Just three of BP’s rivals – Eni, Shell and TotalEnergies – plan to reduce oil production, but those three also plan to pump more gas, the report published last week concluded.

Not a single new oil or gas field is compatible with global efforts to limit heating to 1.5C, according to landmark analysis in 2021 by the International Energy Agency (IEA).Industry points out that demand is set to continue for years yet.

Gas demand is unlikely to level off before the end of the decade, and oil demand will likely keep growing until the mid-2030s, as current policies stand.

Industry group Offshore Energies (OEUK) points out that the UK still relies on oil and gas, including to power transport, heat homes and cook food.

“What this demonstrates is that the key problem in cutting climate emissions is reducing demand before reducing production,” a spokesperson told Sky News.

“The UK offshore industry is committed to achieving the government’s net zero targets but this needs to be done in a planned and careful way or it risks undermining the UK’s long-term energy security,” they added.

One of the report authors, Mike Coffin, suggested companies are committing “tens of billions to projects that are unlikely to break even if governments deliver on their climate pledges”.

The Carbon Tracker analysis warns that more than a third of the investment – some $58bn – is incompatible even with 2.5C of global heating.

Under the historic Paris Agreement, countries agreed to limit heating to ideally 1.5C, to stave off the most dangerous impacts of climate breakdown, including more severe drought, famine, floods and sea level rise.

To hit that target, emissions should plummet by almost half by 2030.

Also published last week was a report from the IEA that hailed an “extraordinary” boom in renewable energy, as costs plummet.

Despite this, “the fossil fuel industry is continuing to develop new projects predicated on sustained demand,” Mr Coffin added.

“Yet, as people increasingly recognise the benefits of renewables – clean, affordable and secure energy for all – many fossil projects may not be needed,” he told Sky News.

American giant Chevron is on course for 16% growth by 2026, and rival Exxonmobil for 8% by 2027.

An ExxonMobil spokesperson said that even in the IEA’s strictest net zero planning, “additional investment of approximately $11 trillion through 2050 would be required in both oil and natural gas development to meet the world’s energy demand.”

A spokesperson for Shell said the company was investing “billions in lower-carbon energy”.

They added: “The world will still need oil and gas for years to come, including for sectors like heavy industry that cannot easily run on electricity. Investment in oil and gas will ensure we can supply the energy people will still have to rely on, while lower-carbon alternatives are scaled up.”

Chevron’s CEO Mike Worth recently told CNBC the company was “growing production because the world is growing in terms of demand, and we have to look at that well into the future and invest to meet that demand”.