Uruguay searching for black gold: Clean energy leader stepping back from climate goals?

Uruguay is famous for its green energy credentials. The country is generating up to 98% of its electricity from clean energy sources. But it appears Uruguay has started changing its track as it ramps up search for oil or the polluting black gold.

It must be emphasized here that Uruguay has never found oil on and offshore. But in 2022, Namibia – the former neighbour of Uruguay – found 11 billion barrels of oil off its coast, raising the possibility of similar resources in Uruguay.

International oil companies are descending on Uruguay to make the most of the search operation. The push comes despite the global drive to achieve net zero. Is oil production going to outstrip demand in the near future?