From forest fires to hurricanes and other natural disasters: climate change risk is increasingly influencing oil prices, just as the world is struggling to shift away from high-polluting fossil fuels. Texas accounts for some 42 percent of total US crude oil production, according to Energy Information Administration data. "Climate change and its effect is a major source of risk in the oil markets, and I expect that that risk will only increase in the coming years as the effects of climate change become more visible and extreme," Rystad Energy analyst Jorge Leon told AFP. "However, climate risk is less manageable in the short and medium run. "Climate change has been and will be affecting production," summarised Tamas Varga, analyst at PVM Oil Associates.

Source: Daily Nation July 17, 2024 06:25 UTC