ExxonMobil's strategy in the face of climate change poses an "existential business risk" to the company, according to an activist hedge fund that is a shareholder in the oil giant, a report in the Financial Times said Sunday.

The company, which has been criticized over the last year for both its financial performance and its approach to renewable energy investment, "has no credible plan to protect value in an energy transition," hedge fund Engine No. 1 said in an 80-page investor presentation.

ExxonMobil has said its business would focus on carbon capture and storage technology as a means to counter the emissions that cause global warming.

However, it also plans to continue pumping oil and expects to spend $20 to $25 billion per year between 2022 and 2025 to fuel its growth, mainly through new oil and gas exploration projects.

In the document, which will be distributed to other shareholders, the hedge fund criticized ExxonMobil's "value destruction" and "refusal to accept that fossil fuel demand may decline," according to the Financial Times.

Engine No. 1 is campaigning for the oil company to consider alternative energy more seriously.

The document also claims that Exxon's total emissions, including those from the products it sells, will increase by 2025.

World leaders came together virtually this week at the request of US President Joe Biden for a 40-leader climate summit.

Biden doubled US targets to slash greenhouse gas emissions responsible for climate change by 2030, with Japan and Canada also raising commitments and the European Union and Britain locking in forceful targets earlier in the week.

The US oil giant, which lost $22 billion in 2020 amid collapsing oil prices, is due to report its first-quarter results on Friday.

New York city sues Exxon, Shell, BP for false advertising on pollution
New York (AFP) April 22, 2021 - New York city filed suit on Thursday against major oil corporations Exxon, Shell and BP for misleading consumers about the role their products play in climate change.

The lawsuit alleges the companies were "systematically and intentionally deceiving New Yorkers" about the "disastrous impacts" of fossil fuels.

The city seeks to stop the companies and the American Petroleum Institute from this "greenwashing" and to seek financial penalties.

"Our children deserve to live in a world free from climate change, and we must do everything in our power to give them hope," said Mayor Bill de Blasio said in a statement.

"That means taking on some of the biggest polluting corporations for false advertising and greenwashing, in direct violation of our Consumer Protection Laws. My Earth Day message to Big Oil: See you in court."

The lawsuit filed in the state Supreme Court comes as President Joe Biden hosted a climate summit with 40 world leaders to jump start efforts to reduce polluting emissions globally.

New York's Corporation Counsel James E. Johnson said consumer are entitled to accurate information on fossil fuels.

But the oil companies "have spent millions to persuade consumers that they present a clean, green choice. But they don't. They say they are making meaningful investments to protect the environment. But they aren't," he said.

The latest legal battle comes after a federal court earlier this month ruled against the city in a separate suit, saying greenhouse gas emissions should be handled by federal law.

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New York city sues Exxon, Shell, BP for false advertising on pollution
New York (AFP) April 22, 2021
New York city filed suit on Thursday against major oil corporations Exxon, Shell and BP for misleading consumers about the role their products play in climate change. The lawsuit alleges the companies were "systematically and intentionally deceiving New Yorkers" about the "disastrous impacts" of fossil fuels. The city seeks to stop the companies and the American Petroleum Institute from this "greenwashing" and to seek financial penalties. "Our children deserve to live in a world free from cl ... read more