Major energy producers such as Shell have withdrawn from a prominent initiative aimed at establishing a global standard for “net-zero” emissions, after a draft proposal effectively called for banning the development of new oil and gas projects, according to documents reviewed by the Financial Times.

The departing companies include Shell, BP, Norway’s Aker BP, and Canada’s Enbridge, all of which exited an expert advisory group set up by the Science Based Targets initiative (SBTi). SBTi is a widely referenced climate standards body, whose certification is sought by global corporations like Apple and AstraZeneca.

This wave of withdrawals highlights rising tensions between the fossil fuel industry and evolving climate accountability frameworks.

Dispute Over New Oil and Gas Projects

The controversial draft outlined a ban on any new oil and gas project development by companies submitting climate plans to SBTi—either immediately or by 2027, whichever comes first. It also called for a sharp decline in fossil fuel production, sparking concerns across the energy sector that the proposed standards may impose an unworkable path to net-zero goals.

Shell, which had participated intermittently in SBTi processes since 2019, stated that it withdrew after determining the draft “does not reflect the industry's perspective in any meaningful way.”

Nevertheless, Shell reiterated its commitment to reaching net-zero emissions by 2050, but emphasized that any credible standard must offer “sufficient flexibility” and reflect a “realistic pathway” for society.

Aker BP cited limited ability to influence the developing standard as the reason for its withdrawal, insisting it had “no bearing whatsoever” on its climate ambitions. Enbridge declined to comment, according to the FT.

SBTi Halts Work on Oil and Gas Standard

Following these high-profile exits, SBTi announced it had “temporarily paused” work on its oil and gas standard, citing “internal capacity considerations.”

However, the group denied that the decision was influenced by industry pressure, telling the Financial Times there was “no basis” for such claims.

Meanwhile, reports emerged that SBTi has also delayed and softened planned guidelines for financial institutions on fossil fuel financing.

According to informed sources, the deadline to restrict funding or insurance for companies developing new oil and gas projects was pushed from 2025 to 2030, after David Kennedy, a former EY partner, became SBTi’s executive director in March.

Growing Divide Between Industry and Climate Standards

These developments underscore a deepening divide between climate goals and industry realities. While fossil fuel combustion remains the leading cause of global warming—and scientists stress the need to cap temperature rises at 1.5°C to avoid irreversible catastrophe—the oil and gas industry remains wary of climate standards that effectively demand a halt to exploration and production, citing concerns over energy security, investor interests, and the global ability to meet demand during the energy transition.

A source involved in drafting the oil and gas and financial sector standards said: “The longer we delay, the more cover we give to Big Oil.”

Despite these disputes, Shell and other companies continue to publicly commit to achieving net-zero emissions by 2050. Yet the frameworks and standards that are supposed to clearly define what “net-zero” actually means remain mired in controversy.

Most US stock indexes declined on Tuesday (except for the Dow Jones), as investors awaited more quarterly earnings results and monitored developments in trade negotiations between the United States and its partners, ahead of the reciprocal tariffs set to take effect in early August.

Commerce Secretary Howard Lutnick confirmed that August 1 is a firm deadline for the start of tariff implementation, though he noted that dialogue with countries could still continue beyond that date.

Investors are closely watching Q2 earnings reports. So far, 88 companies within the S&P 500 have reported their results, with 82% of them surpassing analysts’ expectations, according to FactSet data.

Later this week, several major US tech firms are scheduled to report their results, with Alphabet and Tesla both set to announce on Wednesday.

As of 16:22 GMT, the Dow Jones Industrial Average rose 0.1% (42 points) to 44,365 points. The broader S&P 500 fell 0.1% (8 points) to 6,297 points, while the Nasdaq Composite dropped 0.5% (102 points) to 20,872 points.

Copper prices rose on Tuesday during trading, supported by a decline in the US dollar against most major currencies, pushing the industrial red metal back toward its all-time record highs.

According to ANZ Bank analysts in a note reported by Reuters, Trump's announcement of a 50% tariff on copper imports is expected to lead the US market to rely more heavily on domestic inventories in the near term, which would place downward pressure on copper prices in both the COMEX and London exchanges.

Data released on Wednesday showed that copper inventories at the London Metal Exchange rose by 10,525 tons to a total of 121,000 tons, as eight LME warehouses in Hong Kong officially began operations this week.

Meanwhile, protesters in Peru — the world’s third-largest copper producer — ended a blockade of a key copper transport route that had lasted for more than two weeks, according to a protest leader speaking to Reuters late Tuesday.

At the same time, Rio Tinto announced on Wednesday a 9% increase in its quarterly copper production and projected full-year output to reach the upper end of its guidance. Antofagasta also reported an 11% rise in copper output during the first half of the year.

In a separate development, copper inflows into the United States have slowed as traders prepared for the implementation of 50% tariffs, set to take effect on August 1.

Meanwhile, the US dollar index declined by 0.3% to 97.6 points by 16:05 GMT, after recording a high of 97.9 and a low of 97.5.

In US trading, copper futures for September delivery rose by 0.8% to $5.68 per pound at 16:02 GMT, approaching the record high of $5.70 per pound set on July 8.

Bitcoin prices rose on Tuesday, recovering from earlier losses that came amid a wave of profit-taking across the broader cryptocurrency market following strong gains over the past two weeks.

The cryptocurrency rebounded during the European session, supported by notable institutional purchases. Strategy Inc. revealed on Monday that it had increased its Bitcoin holdings, now owning nearly 3% of the total global supply in circulation.

Bitcoin had recently surged to record levels above $123,000, with altcoins also posting significant gains amid optimism surrounding major US crypto regulatory legislation. Sentiment was further lifted by an announcement from Trump Media & Technology Group (Nasdaq: DJT), which disclosed a $2 billion Bitcoin reserve.

However, that bullish momentum faded on Tuesday. Bitcoin sharply pulled back from its recent highs, while altcoins also registered losses following several strong sessions.

Risk appetite was also dampened by growing uncertainty surrounding President Donald Trump's upcoming tariff decisions, set to take effect on August 1, alongside market caution ahead of next week’s Federal Reserve meeting.

As of 01:40 a.m. ET (05:40 GMT), Bitcoin was down 1% to $117,210.3.

Trump Media Discloses $2 Billion Bitcoin Holding

On Monday, Trump Media announced that it had acquired approximately $2 billion worth of Bitcoin, after raising nearly $2.3 billion to establish a strategic crypto reserve.

The news initially pushed Trump Media shares up 9% in intraday trading, before closing the session with a 3.1% gain.

The move underscores former President Donald Trump’s growing interest in cryptocurrencies. Several members of his family have launched crypto ventures this year, including World Liberty Financial Group and the meme coin $TRUMP—projects that have bolstered Trump’s personal wealth.

Earlier this year, Trump signed executive orders to create a strategic Bitcoin reserve and appointed a White House “crypto czar.” His growing support for the sector was further cemented by his recent signing of the GENIUS Act, a legislative framework for stablecoins. The law has been a key driver of the recent crypto rally, signaling increased US regulatory acceptance.

Still, Trump’s pro-crypto stance has raised concerns over potential conflicts of interest, as his legislative actions directly impact the value of assets he reportedly holds.

Crypto Prices Today: Altcoins Pull Back After Rally

The broader cryptocurrency market fell alongside Bitcoin as investors locked in gains following last week’s sharp rally.

Political and trade uncertainty—along with anticipation surrounding the Fed’s upcoming policy meeting—continue to weigh on appetite for high-risk assets like cryptocurrencies.

As of 13:59 GMT, Bitcoin was up 1% on CoinMarketCap to $119,300.