Post-pandemic demand and the Ukraine invasion delivered windfall profits for oil and gas supermajors—but the rebound was short-lived. Falling prices, rising volatility, and accelerating clean energy investment have exposed structural weaknesses. To stay competitive, incumbents must rethink strategy. Emerging and state-backed players are already leading the way, leveraging diversification and innovation to future-proof their positions.

The company credits its resilience to a diversified strategy, with expansions into LNG, petrochemicals, and digital transformation initiatives that generated $500 million in operational efficiencies in 2023. A key step in this diversification was the recent $16.3 billion acquisition of Covestro, a leading German chemicals company known for its sustainable chemical offerings and contributing around 5% to the country’s GDP. This move reflects a broader shift toward high-value, lower-carbon industrial products that are gaining prominence across the sector.