US-style megadeals do not look to be on the cards in Europe at the moment
Energy majors’ strategies show signs of convergence
While US megadeals may not be repeated on the other side of the Atlantic, there is now greater common ground between European and US energy companies
The two big recent US oil and gas mergers—ExxonMobil buying Pioneer Natural Resources and Chevron acquiring Hess—have raised the question of European consolidation. But whispers of a BP and Shell tie-up, or any large-scale upstream M&A across the pond, are likely to remain sotto voce given Europe’s approach to fossil fuels. But European and US energy majors’ strategies are not as far apart as once thought, and are actually coming closer together. From the US side, there has been a growing focus on cleaner technologies even amid the strong oil and gas M&A headlines, while from the European side there has been a pullback from renewables given the importance of hydrocarbons for investor
Also in this section
4 March 2025
The US and Canada are boosting capacity builds for renewable diesel and biofuels, while Central and South American countries are investing heavily to upgrade and expand their domestic refining sectors
4 March 2025
EU net-zero polices have shifted refining investment among member states, while across the region countries and companies continue to adjust to changes in trade flows caused by the war in Ukraine
4 March 2025
Gas auctions underperform, signalling a slow start to 2025 after bumper 2024
3 March 2025
The Middle East is focusing on modernisation and expansion projects, while Africa is seeking to reduce its imports of refined products
