Oil trader Gunvor Group said it planned to invest at least $500 million in non-hydrocarbon fuels and technology as part of the company’s strategy to generate profits from the energy transition. The Geneva-based company also pledged to sharply cut emissions from its refining and shipping operations. The move also comes as major commodity traders are preparing to shift to cleaner fuels.
Gunvor established a new unit called Nyera that will focus on investments in carbon capture and storage, renewable power, and alternative fuels. The company intends to spend at least $500 million on some projects in the next three years. However, CEO Torbjorn Tornqvist said trading would continue to be the company’s core business.
Gunvor pledged it would cut its scope 1 emissions from its refineries and ships by 35% and scope 2 emissions by 95% by 2025, from 2019’s baseline. Gunvor’s three refineries in Europe will run on renewable or carbon-neutral electricity. It operates two biofuel plants in Spain. Its Rotterdam facility is developing new vegetable oil processing.
