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ExxonMobil Corp. and Saudi Basic Industries Corp. (Sabic) Gulf Coast Growth Ventures petrochemical complex under construction in Gregory, Texas, U.S., on Wednesday, July 28, 2021.
Eddie Seal | Bloomberg | Getty Images

LONDON — The world’s largest oil and gas majors are seeking to lure back investors by returning more cash to shareholders. Market participants, particularly those looking to the long term, remain highly skeptical.

It comes at a time when oil and gas companies are raking in their highest profits since the onset of the coronavirus pandemic amid a sustained period of stronger commodity prices.

A robust showing in the three months through June built on better-than-expected first-quarter earnings and lent further support to the industry’s efforts to pay down debt and reward investors.

In the U.S., ExxonMobil said late last month that it would back shareholder returns through its dividend and Chevron announced it would resume share buybacks at an annual rate of between $2 billion to $3 billion.

In Europe, meanwhile, the U.K.’s BP, France’s TotalEnergies, Norway’s Equinor, Italy’s Eni and Anglo-Dutch oil giant Royal Dutch Shell all announced share buyback programs or increased dividend payouts — or both. It reflects a broader industry trend of energy majors seeking to reassure investors that they have gained a more stable footing amid the ongoing Covid-19 crisis.

Share buybacks are designed to boost the firm’s stock price, benefiting shareholders. Dividend payments, meanwhile, reflect a token reward to shareholders for their investment. Both are options available to a company seeking to reward investors.

These investments are likely to become stranded assets, and investors don’t want to be left holding the bag.
Kathy Hipple
Finance professor at Bard College

Ahead of the second-quarter results, energy analysts had warned that Big Oil still faced a host of uncertainties and challenges. Some of these include the remarkable success of shareholder activism in recent months, a “tremendous degree” of ongoing investor skepticism and intensifying pressure to massively reduce fossil fuel use.

“Day traders may reap short-term profits, but serious long-term investors have concluded that the old energy of the past — oil and gas extraction, is just that — old, with a sell-by date that is moving closer by the day,” Kathy Hipple, finance professor at Bard College in New York, told CNBC via email.

“Once institutional investors determine that demand has peaked — which likely has already happened — they will abandon the sector permanently,” she added. “Many already have, based on the stock performance of the sector over the past several years.”

IPCC report a ‘death knell’ for fossil fuels

The energy sector, alongside financials, is one of this year’s top performers on the S&P 500, up almost 30% year-to-date. Yet, share prices of many oil majors continue to trail the earnings outlook considerably.

In the U.K., for instance, BP has seen its stock price climb nearly 20% so far this year, but the oil and gas giant recorded a collapse of more than 47% in 2020. BP has previously described 2020 as “a year like no other” due to the impact of the Covid-19 crisis on global energy.

Oil prices have since rebounded to near $70 a barrel and all three of the world’s main forecasting agencies — OPEC, the IEA and the U.S. Energy Information Administration — expect a demand-led recovery to pick up speed through to 2022.

Hipple said that savvy long-term investors would shy away from oil and gas majors “unless and until” they fully acknowledge the climate crisis. “These investors understand that the oil majors are still investing tens of billions in unnecessary oil and gas infrastructure, ignoring the IEA findings that no additional infrastructure is possible to meet a 1.5 [degrees Celsius] scenario,” Hipple said, referring to a critically important target of the Paris Agreement.

“These investments are likely to become stranded assets, and investors don’t want to be left holding the bag.”

Last week, the world’s leading climate scientists delivered their starkest warning yet about the deepening climate emergency. The Intergovernmental Panel on Climate Change’s landmark report warned a key temperature limit of 1.5 degrees Celsius could be broken in just over a decade in the absence of immediate, rapid and large-scale reductions in greenhouse gas emissions.

U.N. Secretary-General, António Guterres, described the report’s findings as a “code red for humanity,” and said it “must sound a death knell” for coal, oil and gas.

Energy majors are typically still overwhelmingly reliant on oil and gas revenues for their earnings — a concept that is irreconcilable to the demands of the climate emergency.

“We frankly just don’t think these are very good businesses,” David Moss, head of European equities at BMO Global Asset Management, told CNBC’s “Street Signs Europe” on Friday.

European energy majors are currently generating “very strong” cash flow following a sustained rebound in oil prices, Moss said, but noted that many are choosing to keep spending relatively tight rather than invest in future production projects.

“With the oil companies, we still just don’t think they represent good long-term businesses,” Moss said. “They don’t generate consistent returns on capital or cash flow, albeit at the moment they look to be in a pretty good place.”

Not everyone is as downbeat on the outlook for the oil and gas industry, however.

Rohan Reddy, analyst at Global X, a New York-based provider of exchange-traded funds, says there are currently a number of positive signs for energy majors, citing rising stock prices, an upswing in second-quarter earnings and increased shareholder distributions.

“Right now, the energy sector is the best performing one within the S&P 500 and many European markets, and even though some of the big majors like BP and Shell have lagged the broader energy sector, we think right now that’s just due to hesitancy around the delta [Covid] variant,” Reddy told CNBC on Aug. 11.

“We think there is going to be a lot more investors starting to pile into to some of those big energy names.”

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This startup wants the $80-billion U.S. railroad industry to switch from diesel to batteries

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August 14, 2025

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This startup wants the -billion U.S. railroad industry to switch from diesel to batteries

Voltify plans to build a series of energy microgrids to power its locomotive batteries, as shown in this computer-generated image.

Voltify

Daphna Langer has a bold ambition: To decarbonize the rail industry in less than a decade.

How? By convincing U.S. freight railroad companies to switch from diesel power to rechargeable batteries — part of a business model Langer estimates could make her company, Voltify, as much as $10 billion a year.

The rail industry needs to reduce its emissions by 5% a year by 2030 to reach net-zero goals, according to a 2023 report by the International Energy Agency. In addition, switching to battery electricity would save U.S. rail freight companies $94 billion over 20 years, according to a 2021 study published in the journal Nature Energy.

Voltify’s VoltCars — essentially sodium-ion batteries on wheels — are designed to connect to existing freight locomotives.

Convincing the $80-billion U.S. rail industry to switch from a traditional and long-relied on fossil fuel to renewable energy might seem a tough task, but there are several reasons Langer said she is confident in Voltify’s goal.

After a stint advising multiple early-stage companies in the climate industry, Langer noticed two things that limited their growth. “Most of them rely on subsidies of governments, and [the] second [factor] is that they rely on manufacturing and scaling that just doesn’t exist today,” she said.

In a bid to overcome those hurdles, Langer held meetings with hundreds of people in the energy and materials industries, seeking opportunities. When she first met her co-founder Alon Kessel, it was a “ding ding” moment, she said.

A computer-generated image illustrating Voltify’s VoltCar batteries attached to a locomotive.

Voltify

Kessel knew the renewable energy market well, having co-founded Doral, a firm that owns and operates dozens of solar energy farms in the U.S. and Europe. He calculated that the six largest freight railroad companies in the U.S. — including Union Pacific and CSX — were collectively spending more than $11 billion a year on diesel, a figure verified by CNBC. Union Pacific, for example, spent almost $2.5 billion on fuel in 2024, per its annual report.

Langer and Kessel saw an opportunity. What if they could convince the large companies — known as Class 1 railroads — to convert their locomotives from diesel to battery power?

“Converting six companies is not that hard. And having that ability to create such an impact with just six companies, it’s huge,” Langer said. There is almost 140,000 miles of freight railroad track in the U.S., with the majority of the locomotives powered by diesel as there is little overhead electrification.

Langer and Kessel founded Voltify in 2023 and set about meeting the railroad companies. But they found initial resistance. “There’s a lot of skepticism, because this is such a traditional industry, and uptime and and reliability are key,” Langer said. “We’ve been figuring out what would be able to … fit into their schedule, to fit into their operations without harming their efficiency.”

The companies’ biggest concern was the amount of time it might take to charge the batteries, and that there would always be the power supply to do so. “The rail companies, who have been very blunt about it, [said] ‘Listen, we don’t really care about the energy source. We just need to make sure that it’s always up. There’s always energy,'” Langer said.

So Voltify spent about a year working on an algorithm that could forecast the energy demands of trains “in every route,” Langer said, and the company is also building its first solar-powered energy microgrid that Langer said is on track to be finished by the end of the year. “Our calculations show that a network of these microgrids could eventually power all trains in North America,” Langer told CNBC in an email. Voltify estimates that to do so would require 1,400 microgrids.

Wabtec’s FLXdrive battery locomotive was developed in 2019.

Wabtec

Voltify is in “very active” talks with three of North America’s largest railroad companies, Langer said, adding that it is set to run a demonstration project with a smaller railroad company later this year. Voltify is also starting a pilot with a Class 1 railroad company in early 2026, and Langer said it is “expected” that this will become a commercial deployment after several months.

Voltify isn’t the first company to come up with the idea of powering freight trains with batteries. In 2019, freight rail firm Wabtec developed a battery-electric locomotive called the FLXdrive, with the first trains set to operate in Australia after being ordered by miner BHP Group. The company also tested its battery-electric locomotive with GE, and said in an email to CNBC that it plans to test and operate FLXdrive trains in North and South American markets.

The technology can reduce diesel consumption and emissions by 30%, according to Tim Bader, Wabtec’s director of external and engineering communications, in an email to CNBC. “This benefit is critical since fuel is one of the major operating costs for a railroad,” he said.

But as the technology is emerging, there are challenges such as charging time and battery capacity, plus a “challenging” business case given the infrastructure investments required. “Like any emerging technology, these challenges will diminish as the industry continues to research and improve battery-power solutions,” Bader said.

A computer-generated image of a passenger train on New York City’s MTA Metro North network, which is set to be powered by Siemens Mobility Charger B+AC battery.

Siemens Mobility

There’s also “substantial” market potential for battery-powered passenger trains, according to Tobias Bauer, the acting CEO for Siemens Mobility North America, in an email to CNBC. “Battery-powered trains represent a new and exciting platform for the rail market, particularly as operators seek alternatives for non-electrified routes,” Bauer said.

Siemens Mobility has sold more than 400 diesel-electric Charger locomotives in North America, and in June launched its battery-electric train, the Charger B+AC, selling 13 to the New York’s Metropolitan Transportation Authority and Metro-North Railroad.

The new locomotive draws electricity from overhead catenary wires and transfers to battery power when needed, according to an online release. While the locomotives’ range is currently up to 100 miles, Bauer said that is expected to grow as the battery technology advances.

In February, Siemens Mobility received an order from Swiss freight operator WRS Widmer Rail Services for two of its Vectron lithium-ion battery locomotives, which can be used for shunting without the need for overhead power lines. Asked about the potential for battery-powered freight trains, Bauer said: “A full transition to battery-powered freight would depend on route specifics and charging infrastructure, but the potential is there.”

— CNBC’s Michael Wayland contributed to this report.

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That Silverado EV that went 1,059 miles? These guys predicted it!

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5 hours ago

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August 14, 2025

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That Silverado EV that went 1,059 miles? These guys predicted it!

Chevy set a new EV range record going nearly 1,060 miles on a single charge in an optimized, but unmodified Chevy Silverado EV Work Truck that no one saw coming. No one, that is, except Chargeway founder Matt Teske. His EV route-planning map predicted the Silverado’s record-setting run with better than 99% accuracy – and he’s here to talk about it on today’s electric episode of Quick Charge!

We’ve also got a deep dive into what I think the biggest issue facing more widespread EV adoption might be, and a new solution from Blink Charging that might solve it.

Today’s episode is brought to you by Retrospec—makers of sleek, powerful e-bikes and outdoor gear built for everyday adventure. Check out Retrospec’s viral city ebike, the Beaumont Rev 2, made with a vintage-inspired frame design and modern electric features, all for just $999!

The best part: Electrek listeners can get 10% off their next ride until August 14 with the exclusive code ELECTREK10 only at retrospec.com

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Prefer listening to your podcasts? Audio-only versions of Quick Charge are now available on Apple Podcasts, Spotify, TuneIn, and our RSS feed for Overcast and other podcast players.

New episodes of Quick Charge are recorded, usually, Monday through Thursday (most weeks, anyway). We’ll be posting bonus audio content from time to time as well, so be sure to follow and subscribe so you don’t miss a minute of Electrek’s high-voltage daily news.

Got news? Let us know!
Drop us a line at tips@electrek.co. You can also rate us on Apple Podcasts and Spotify, or recommend us in Overcast to help more people discover the show.

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Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here.

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Aventon Abound SR smart cargo e-bike gets first discount to $1,799, Jackery Explorer 300 at $169, Rachio sprinkler controller, more

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9 hours ago

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August 13, 2025

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Aventon Abound SR smart cargo e-bike gets first discount to ,799, Jackery Explorer 300 at 9, Rachio sprinkler controller, more

Headlining our hump day Green Deals is Aventon’s final summer sale that is taking up to $500 in increased savings off e-bikes, including new models, with the Abound SR Smart Cargo e-bike getting its first-ever discount to $1,799. We also spotted Jackery’s Explorer 300 Portable Power Station falling to $169, as well as Rachio’s 3rd gen 8-zone Smart Sprinkler Controller also dropping back to $169. From there, we have additional savings a budget-friendly e-scooter, a new low on a pro-grade cultivator, dual one-day-only pressure washer/attachment deals, and more waiting for you below. Plus, all the hangover savings are at the bottom of the page, like yesterday’s exclusive new low price on Anker’s SOLIX F2600 power station bundle, or the brand’s PowerCore Reserve 60,000mAh station dropping to $80, and much more.

Head below for other New Green Deals we’ve found today and, of course, Electrek’s best EV buying and leasing deals. Also, check out the new Electrek Tesla Shop for the best deals on Tesla accessories.

Aventon’s final summer sale gives the new Abound SR smart cargo e-bike its first discount to $1,799, more from $1,199

Aventon has launched its final summer sale through September 3 with up to $500 being taken off its e-bike lineup, including increased savings on legacy models, and two of its newest smart models seeing price cuts. Alongside the second-ever discount on the new Pace 4 Step-Through e-bike, we’re seeing the first cash savings on Aventon’s Abound SR Cargo e-bike to $1,799 shipped. This smart commuting solution has been fetching $1,899 since hitting the market at the end of 2024, with discounts having been placed on its predecessor model (currently down at $1,599). This is the first time we’ve spotted any savings being attached to this model, setting the bar for future discounts. Head below to learn more about it or to check out the full lineup of deals during this sale.

The new Aventon Abound SR e-bike takes all that we love about its predecessor and steps up the game with smarter features. To start, there is a 750W rear hub motor (1,188W peak) paired with a 733Wh battery (which you can conveniently unlock and remove without keys via the LCD screen) that provides you with up to a 60-mile travel range at up to 20 MPH speeds (that can be adjusted to 25 MPH). There are three riding modes available here, with the added Ride Tune customization letting you alter their performances to suit your preferences.

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There are some great structural features like the Tektro hydraulic disc brake system, the 8-speed Shimano Altus derailleur, and the rear cargo rack with an increased 143-pound payload, but what really makes this cargo hauler truly special is the large array of new features we’ve only seen on the latest releases. First, there’s the Sensor Switch tech, allowing you to choose between a cadence sensor and a torque sensor as you ride, as well as other in-ride functions like cruise control, a boost mode to increase power for steep hills, and even a hold mode when you’re on said inclines and don’t want the bike rolling backwards. Of course, there’s also the security measures in the form of a startup password, an integrated kickstand lock, and in-app geofencing settings, which cuts the power and sends you alerts should it ever leave your designated areas.

If you want to check out the full lineup of e-bike deals, be sure to check out our original coverage of this sale here.

jackery's explorer 300 power station sitting on picnic table charging drone and camera

Jackery’s Explorer 300 power station is a compact companion keeping your personal devices running for $169

By way of its official Amazon storefront, Jackery is offering its compact Explorer 300 Portable Power Station for $169 shipped, beating out its pricing directly from the brand’s website by $70. While it carries a $279 MSRP from the brand, it keeps down at a $259 full price tag here at Amazon, with discounts having kept the costs even lower between $199 and $169 over 2025, with a one-time appearing $159 low back during Prime Day. Aside from that short-term discount, you’re otherwise looking at another shot at the best price we have tracked, which gives you an easy-to-manage compact backup power solution with $90 in savings ($110 off the MSRP). Head below for more on this model and its bundle options.

If you want to learn more about this power station, be sure to check out our original coverage of this deal here.

rachio 8-zone smart sprinkler controller with phones displaying app-based controls

Streamline your water system with smart controls through Rachio’s 8-zone sprinkler controller at $169

Amazon is now offering the Rachio 3rd Gen 8-zone Wi-Fi Smart Sprinkler Controller at $169 shipped. While it may carry a $230 MSRP, we’ve been seeing it keep down to $200 at full price here at Amazon. Aside from the short-term Prime Day discounts, which first took the price down to $165 before falling to $160, this is the best rate we’ve seen since mid-March. While it’s gone as low as $143 in the past, you’re still looking at a solid $31 off the going rate ($61 off the MSRP) that lands it among the best prices we’ve tracked in 2025.

If you want to learn more about this 8-zone device, be sure to check out our original coverage of this deal here.

man aerating garden soil with greenworks pro 80V 10-inch cordless cultivator

Take advantage of up to 50% off this pro-grade 80V Greenworks cordless cultivator at a new $175 low

Amazon is offering the Greenworks Pro 80V 10-inch Cordless Cultivator at $174.99 shipped, which beats out its tool-only option that is sitting $75 higher in price. While this package carries a $400 MSRP, which is where it’s currently priced on the brand’s direct website, it is now 50% off the price we have been tracking on Amazon since the spring and is now at the lowest price we have tracked all-time.

If you want to learn more about this pro-tier model, be sure to check out our original coverage of this 50% deal here.

man riding gotrax apex xl electric scooter through walkway

Get a budget-friendly commute to your college or work on Gotrax’s APEX XL e-scooter at its $235 low

Amazon is offering the Gotrax APEX XL Electric Scooter at $234.90 shipped. While it carries a $349 price tag, we’ve been seeing it keep more at $320 at Amazon lately, with discounts having mostly kept the costs above $243, with one previous fall to this same rate at the end of July. That low price is coming back around here, with the 27% markdown cutting $85 off the going rate for the best price we have tracked – and just in time to cover any last-minute back-to-school commuting needs.

If you want to learn more about this e-scooter’s capabilities, be sure to check out our original coverage of this deal here.

man clearing driveway with greenworks 1900 PSI electric pressure washer

Greenworks’ framed 1,900 PSI electric pressure washer hits $120 with the 12-inch cleaner attachment at $25 (Today only)

As part of its Deals of the Day, Best Buy is offering back-to-back discounts on Greenworks’ 1,900 PSI Electric Pressure Washer for $119.99 shipped, while also offering the add-on 12-inch Surface Cleaner Attachment at $24.99 shipped (more on this below the fold). This pressure washer normally goes for $200 at full price, with it currently out of stock at Amazon and only down to $150 directly from the brand’s website. While we have seen it go as low as $118 before in a one-time discount back in April, you’re otherwise looking at the best price we have tracked, giving you a reliable means to tackle outdoor cleaning with $80 savings.

If you want to learn more about this model or the attachment, be sure to check out our original coverage of this one-day-only deal here.

Best Summer EV deals!

Best new Green Deals landing this week

The savings this week are also continuing to a collection of other markdowns. To the same tune as the offers above, these all help you take a more energy-conscious approach to your routine. Winter means you can lock in even better off-season price cuts on electric tools for the lawn while saving on EVs and tons of other gear.

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