'Older, wiser' Exxon Mobil adjusts image

 
 

By NEIL CHATTERJEE
Reuters News Service

 http://www.chron.com/cs/CDA/story.hts/business/energy/1654838


LONDON -- Exxon Mobil is working more closely with nongovernmental organizations on projects to help avoid the social unrest it has suffered in the past, a senior executive said Friday.

Vice President Frank Sprow said oil companies traditionally tended to just pay their taxes and expect governments to take care of local concerns.

"We're older and wiser now. We're stretching out more to work with NGOs," he said, speaking of nongovernmental organizations.


He said ensuring that local populations received economic and social benefits from projects such as the controversial Exxon-led Chad-Cameroon oil pipeline 

would also benefit the company.

The company has suffered from its experiences in the resource-rich Indonesian province of Aceh, where separatists fighting the government bombed Exxon's gas export terminal last year.

"It's not a desirable outcome to have people shot in the environs (of a plant), and having to go to massive security operations. In Aceh we had to shut down, which was an economic handicap."

However, Sprow said criticism would not stop it from pursuing projects.


He said the company had been targeted by environmentalists because it was seen to fail two "litmus tests": accepting a definitive link between fossil fuel use and global warming, and on investment in renewable energy.

"Activist organizations want you to take an oath that man is ruining the environment -- it's a substantial risk, but the science is not a done deal 

-- so we fail that," he said.

The company says it has significantly reduced greenhouse gas emissions
at its plants through energy efficiency and is working with car manufacturers
to develop cleaner fuels and fuel-cell engines using hydrogen from gasoline.