Everlution Newsletter

For Tuesday 1 September 2020 provided by Ecoprofit.com.au (#letsfindsolutions)

News for green investors and organisations, stock watch & grant opportunities

Exxon Mobil Gets Punted

Exxon Mobil?s demotion from the Dow Jones Industrial Average after nearly a century is being celebrated by environmentalists as a harbinger of the?fossil fuel?industry?s demise.

The oil behemoth was the longest-running member of the blue-chip stock market index after being added in 1928 when it was still called Standard Oil of New Jersey. In 2013, Exxon was the most valuable company on earth, valued at around $418billion. Exxon Mobil is now worth $267billion. After the demotion, Exxon Mobil shares fell 3.4 per cent.

Exxon Mobil?s drop appears emblematic of the changing fortunes of the fossil fuel industry, as calls to tackle the?climate crisis?gather momentum. Emissions from fossil fuels are the primary cause of global heating, according to the?Intergovernmental Panel on Climate Change. Some 89 per cent of greenhouse gas emissions came from fossil fuels and industry in 2018, according to?CarbonBrief.

In a statement, May Boeve, executive director of environmental non-profit 350.org, wrote:

?Big Oil has fallen. Our job is to make sure they don?t take us down with them. Fossil fuel companies like Exxon knew and lied for decades about the main cause of the devastating impacts we?re now experiencing across the globe, from fires, storms and floods to droughts and rising seas. As the finance world wakes up and cuts ties with these climate criminals, we are rising up to make polluters pay for their destruction.?

She added: ?Exxon?s deep fall today is another powerful reminder of how fossil fuels are too volatile to be the basis of a resilient economy. It is past time for Exxon to recognise that it is not only one of the most responsible for the climate crisis, but also that its assets are quickly becoming stranded as we move towards more sustainable, resilient, and regenerative economic systems, based on renewable, accessible and just energy sources.?

Grants/Subsidies/Funding ? Restart Investment to Sustain and Expand (RISE) Fund

The program is part of the Australian Government?s Arts and Cultural Development Program that supports participation in, and access to, Australia?s arts and culture through developing and supporting cultural expression. The Australian Government will provide a total of $75 million in 2020-21 for the program. Funding decisions will consider a balance across art forms and types of activity, geographic and community diversity, and generation of jobs. The program will open on 31 August 2020 and close to applications on 31 May 2021 at the latest, subject to allocation of funds.

The program is delivered as an open competitive grant opportunity. It will support the delivery and presentation of activities across all art forms to audiences across Australia. Projects that target audiences in outer metropolitan, regional and remote areas will also be taken into account, as well as projects that involve tours and use local regional production, services and support acts.

The objectives of the program are to:

  • Assist companies in the arts and entertainment sector to present new or re-imagined activities which have been disrupted by the COVID-19 restrictions.
  • Deliver new activities, opportunities and structural adjustments that have been developed in response to the COVID-19 restrictions, including innovative ways to deliver content and productions.
  • Provide increased employment opportunities in the arts and entertainment sector and allied industries.
  • Generate increased economic activity in the arts and entertainment sector and allied industries.
  • Help build the longer-term financial sustainability of cultural and creative companies, including increased revenue-earning capacity.
  • Provide creative and cultural experiences to audiences across Australia.

The intended outcomes of the program are:

  • Cultural and creative activities and events that would have been substantially less likely to proceed without investment support are presented, consistent with public health requirements and which may include digital delivery.
  • Cultural and creative businesses are in a stronger position to remain financially viable.
  • The cultural and creative industries are supported to reactivate, providing increased employment opportunities for artists and workers in this industry as well as COVID-safe experiences for audiences.
  • There is increased access to cultural and creative experiences in outer metropolitan, regional and remote communities.

For more information go to grants.gov.au

Eco-tip for the day ? Shopping

Buy less stuff!?And buy used or recycled items whenever possible.

Bring your own?reusable bag?when you shop.

Try to avoid items with excess packaging.

If shopping for appliances, lighting, office equipment or electronics,?look for?the energy star rating of the product.

Support and buy from?companies that are environmentally responsible?and sustainable.

Share watch ? IBE Pre-IPO still available

Ahead of its proposed float, Infinite Blue Energy (?IBE?) has locked in $2m pre-IPO raising with Sydney corporate advisory firm Arthur Philip as lead manager. The planned float is for a $25 million initial public offering ahead of an ASX listing in February next year as part of its plans to become the first commercial-scale producer of green hydrogen in Australia.

IBE plans to use water and alkaline electrolysers in a process powered by wind and solar energy to produce a zero-emissions green hydrogen. Green hydrogen is distinct from grey hydrogen (which uses CO2-emitting coal), or blue hydrogen which uses natural gas but with accompanying carbon sequestration.

IBE, a Perth-based private company is targeting a final investment decision in November on its proposed $50m Arrowsmith plant near Dongara, that will initially produce 4.5t-a-day of green hydrogen for the domestic market?by late 2021 ahead of the larger plant planned for late 2022.

The plans follow the company locking in an offtake agreement to repurpose three?existing?WA based Top Group service stations in 2021, to dispense hydrogen as a fuel for trucks and passenger vehicles.

IBE majority owner and managing director Stephen Gauld said green hydrogen was increasingly sought after globally because of its properties as a clean, emissions-free energy source. While hydrogen?s profile has risen strongly in recent times, Mr Gauld noted none of the technology the company was using was new.

Mr Gauld?also noted 50Mt of hydrogen was already being produced globally, but less than 3 per cent of it was ?green?. ?Today it?s new as a transition fuel from natural gas resources and to reduce the carbon footprint globally because there?s zero CO2 with it,? he said.

The Arrowsmith coastal site was chosen because of its abundant wind and solar resources (electricity costs will be as low as $28 per MW), rail and road access and its proximity to both the Parmelia and Dampier to Bunbury gas pipelines.

The company has pivoted quickly following its recent offtake agreement, having previously planned for a $346m plant that could produce 25t-a-day. But Mr Gauld said the company?s revised plans would enable it to build a smaller plant quicker to meet its obligations under the new offtake agreement?generating anticipated Cash Flow to its business.

Hydrogen would initially be trucked by tanker from the plant to the fuel stations?utilising hydrogen prime movers offering a complete GREEN transportation solution with ZERO Carbon Emissions.

The company is also eyeing plans to export green hydrogen overseas as part of a proposed stage 2 expansion of the plant which would quadruple its production?by early 2025.

Financial indicators

The VIX fear gauge up by 7.69 points since last Tuesday EST to 26.41.

The Dow Jones Industrial Average up since last Tuesday EST by 121.59 points or 0.43% to 28,430.05, the STOXX 600 down 1.59 points or 1.17% to 370.85 and the Shanghai Composite index down 56.91 points or 1.69% to 3,401.94.

Gold on 1,993.90. US 10-year Treasury Bonds on 0.711 and oil on 42.99. Cryptos Bitcoin down 546 points since last Tuesday or 4.45% to 11,721.

ASX 200 down 118.00 points or 1.92% since last Tuesday to 5,943.40. The Aussie dollar on 74.04US cents.

Eco Market Spot Prices

LGC $47.25

STC $38.30

ESC $26.30

VEEC $33.75

ACCU $15.90

Sources:?RenewEconomy, demandmanager,? Reuters, SMH, Market Watch, Forbes