Exxon (XOM) Says Nat Gas Will Be Most Widely Used Source in US by 2025
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Exxon Mobil (NYSE: XOM) is predicting natural gas will become the world’s second most widely-used fuel source and the US's main fuel source (replacing coal) by 2025.
The WSJ reports a study, expected to be released by the company later Thursday, will indicate global demand for energy will grow 30 percent by 2040 as the global population grows by roughly 29 percent.
Exxon notes coal will continue to be in large demand in emerging markets, but the global demand and use will begin to fall as developed markets try to limit greenhouse gases. This will be the first historical drop in demand for coal, highlights the WSJ. Another contributor to the decline in demand is China’s slowing population growth rate.
Exxon’s new study is based on the assumption energy demand growth in developed nations will fall by 2 percent from 2010 to 2040. Another prediction Exxon’s study includes is the thought that hybrid vehicles will become 40 percent of the automobile population by 2040, well above the less than 1 percent currently. This will contribute to Exxon's belief the average miles per gallon for automobiles will increase from 27 miles per gallon currently to 48 miles per gallon in 2040.
Demand for fuel used in large trucks, airplanes, ships, and trains is forecast to increase by 70 percent from 2010 to 2040, while the global demand for diesel is estimated to grow by 85 percent through 2040. Global gasoline demand is expected to fall by 10 percent through 2040.
The WSJ reports a study, expected to be released by the company later Thursday, will indicate global demand for energy will grow 30 percent by 2040 as the global population grows by roughly 29 percent.
Exxon notes coal will continue to be in large demand in emerging markets, but the global demand and use will begin to fall as developed markets try to limit greenhouse gases. This will be the first historical drop in demand for coal, highlights the WSJ. Another contributor to the decline in demand is China’s slowing population growth rate.
Exxon’s new study is based on the assumption energy demand growth in developed nations will fall by 2 percent from 2010 to 2040. Another prediction Exxon’s study includes is the thought that hybrid vehicles will become 40 percent of the automobile population by 2040, well above the less than 1 percent currently. This will contribute to Exxon's belief the average miles per gallon for automobiles will increase from 27 miles per gallon currently to 48 miles per gallon in 2040.
Demand for fuel used in large trucks, airplanes, ships, and trains is forecast to increase by 70 percent from 2010 to 2040, while the global demand for diesel is estimated to grow by 85 percent through 2040. Global gasoline demand is expected to fall by 10 percent through 2040.
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