Green Markets - January 24, 2025

Jan 24, 2025

Green Markets is a daily series dedicated to highlighting events of interest that could impact investments within environmental markets.

The Trump administration has issued a directive freezing spending, loans, and various actions at the Department of Energy as part of a comprehensive review to align with its priorities, effectively halting activities across the $50 billion agency. This includes grants, funding opportunities, and the finalization of $41.2 billion in conditional commitments by the Loan Programs Office.

Indonesia and ExxonMobil have signed a $10 billion Memorandum of Understanding (MoU) to advance petrochemical development and Carbon Capture and Storage (CCS) technology. The partnership aims to reduce CO2 emissions by up to 90%. ExxonMobil will also provide training programs for Indonesian workers to meet global standards. The project, expected to be Indonesia’s first operational CCS initiative, includes forming a Joint Task Force to coordinate efforts.

Related Stock List(s): Carbon Capture Stocks

LG Energy Solution (LGES) announced plans to reduce its capital expenditure by up to 30% in 2025 due to slowing demand for EVs. The company, which supplies batteries to major automakers like Tesla, GM, and Volkswagen, reported a quarterly operating loss of 226 billion won ($158 million) for the October-December period, marking its first loss in three years.

JERA, Japan's largest LNG buyer, plans to diversify its supply sources by increasing purchases of LNG from the United States. This move aims to reduce Japan's reliance on traditional suppliers from the Asia Pacific region, such as Australia, Indonesia, and Malaysia. JERA intends to boost its long-term contracts with U.S. LNG projects while also seeking to strengthen partnerships with Qatar.
Argent LNG has signed a non-binding agreement with the government of Bangladesh to supply up to 5 million metric tons of LNG annually from its 25 MTPA facility in Louisiana. The agreement will help meet Bangladesh's growing energy needs, while strengthening its strategic ties with the U.S. The project could provide reliable energy for Bangladesh's expanding industrial base, which has previously faced challenges with rising LNG prices.

Related Stock List(s): LNG Stocks

Kenya's parliament has disbanded the Nuclear Power and Energy Agency (NuPEA), halting the country's nuclear energy projects, including a controversial plant in Uyombo, Kilifi County.

BlackRock has launched the BFM Brown to Green Materials Fund, a UK-domiciled mutual fund targeting decarbonization in high-emitting industries like metals, mining, and cement. The fund invests in companies with credible plans to reduce emissions, aligning with BlackRock’s sustainability goals under the UK Sustainable Fund Disclosure Regime (SDR).

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