Oil giant considers geothermal energy as a potential business opportunity

We all know about the worldwide oil giant BP. It has existed since 1909 and has been a historical actor in the oil industry. Within a century, BP has become a worldwide company generating more than $380 billion in revenue in the sole year 2011.

In spite of its success in the oil industry, the company has started to develop activities regarding renewable energy. BP indeed committed to investing $8 billion in renewable from year 2005. In 2011, total investments of the firm in that field were estimated to have reached $7 billion already. The company is definitely on its way to overtake its goal as stated initially. Has BP found a commercial interest in renewable energy? It is very likely so.

                             

The giant oil company is now getting ready to face the inevitable intensification of mitigation in the field of energy production. Recent news has besides confirmed this impression. It indeed seems like BP is about to develop a brand new geothermal activity in Indonesia. “The UK-based energy firm had been mulling the plan been mulling the plan ever since the company’s chief executive met with President Susilo Bambang Yudhoyono this year” one could read in today’s online version of the Jakarta Post.

According to the Ministry quoted by the Indonesian newspaper, BP has already sent engineers a couple of time in the country to “explore the possibility”. Could this be the first signs of an industry led shift to renewable energy? Probably not: BP’s motivation is undoubtedly fuelled by profit expectations more than environmental considerations. However, it goes to show that energy giants of today are determined to be tomorrow’s big fish as well.