Chevron (CVX) to Fund Two Low-Carbon Projects in Australia
Chevron Corporation (CVX), a major oil and gas producer in the United States, announced investments in two low-carbon projects in Western Australia (WA) through its subsidiaries — Chevron Australia New Energies Pty Ltd and Chevron Australia Pty Ltd.
CVX revealed that it would fund a multi-year research project with Deakin University's Blue Carbon Lab to explore potential carbon dioxide sequestration opportunities in the state's coastal wetlands as well as Carbon Sync, which is leading a soil carbon sequestration pilot project involving nearly 80,000 hectares in WA.
Per Barbara Harrison, vice president of Offsets and Emerging at Chevron New Energies, lower carbon energy is the future of energy. Apart from being a crucial component of Chevron's existing portfolio, Australia has enormous potential to develop businesses that would support the company’s efforts to lower carbon emissions, he added.
According to Chevron, its collaboration with Carbon Sync is anticipated to offer critical insights into soil carbon projects, in a region with huge potential for scale to help meet the forecasted demand for Australian Carbon Credit Units. The company added that by contributing to Blue Carbon Lab, it will be possible to explore blue carbon prospects in the salt marsh, mangrove and seagrass environments of WA.
Zacks Rank & Key Picks
Currently, Chevron carries a Zack Rank #3 (Hold).
Some better-ranked stocks in the energy space are CVR Energy Inc. CVI, Murphy USA Inc. MUSA and Crestwood Equity Partners LP CEQP. While CVI sports a Zacks Rank #1 (Strong Buy), both MUSA and CEQP carry a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
CVR Energy is an independent refiner and marketer of high value transportation fuels. Headquartered in Sugar Land, TX, CVI has 1,470 employees. It is also engaged in nitrogen fertilizer manufacturing business through its interest in CVR Partners, LP.
Murphy USA serves 1.6 million customers daily and owns a dedicated line on the Colonial Pipeline. It operates stations near Walmart supercenters and is a low-cost, high-volume fuel seller. This enables the company to attract significantly more transactions than its peers.
Headquartered in Houston, TX, Crestwood is a master limited partnership that provides a wide range of fee-based infrastructure solutions in major U.S. shale plays like the Bakken Shale, Delaware Basin, Powder River Basin, Marcellus Shale and others. The company is least exposed to commodity price fluctuations since it generates stable fee-based revenues from diverse midstream energy assets via long-term contracts.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Chevron Corporation (CVX) : Free Stock Analysis Report
CVR Energy Inc. (CVI) : Free Stock Analysis Report
Murphy USA Inc. (MUSA) : Free Stock Analysis Report
Crestwood Equity Partners LP (CEQP) : Free Stock Analysis Report
