Thursday, September 23, 2010

What Motivates Investment by Big Companies Part 1

It is always interesting why companies do or don't invest in certain things.  In the case of oil vs. alternative fuels, it has been worthwhile for big oil companies to continue investing in "upstream" activities (i.e. exploration and drilling) due to market returns and tax breaks.  The former is mentioned in the following article and the latter is currently being debated by congress.  (Note:  "$200 oil" means per barrel).


Why don’t oil majors invest in biofuels at scale?

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