10 KEY FINDINGS Carbon budget alignment: company by company This new analysis provides a way of understanding whether the supply options of the largest publicly traded oil and gas producers are aligned with demand levels consistent with a 2 degree Celsius (2D) carbon budget. By allocating the carbon budget to potential oil and gas projects, through applying the economic logic of a carbon supply cost curve, it is possible to identify which companies have the highest exposure to potential capital expenditure (capex) to 2025. This report provides a snapshot of the potentially unneeded capex spend for 69 global oil and gas companies – highlighting for the rst time, the wide- ranging degree of exposure amongst companies in the sector. Excess capex The analysis shows that: • US$2.3trn – around one third – of potential capex to 2025 should not be deployed in a 2D scenario compared to business as usual expectations. • Company level exposure varies from under 10% to over 60% when considering the largest 69 publicly traded companies. • Around two thirds of the potential oil and gas production which is surplus to requirements in a 2D scenario is controlled by the private sector.