Why is ExxonMobil messing with batteries?

I couldn’t believe it when I first read about it. ExxonMobil is doing battery research? That just seems completely out-of-place. But when I sat down and thought about it some more, I got some different thoughts on the matter.

ExxonMobil is already known as the prototypical oil company. They epitomize everything that people stereotype about oil companies – stuffy, overpaid executives with no regard for their impact on the environment.

So what is there interest in developing technologies for batteries? I don’t know – but that won’t stop me from speculating.

A look at 2007 and 2008

2007 has been a rough one for the biofuels industry. In hindsight, it will be noted as a turning point for the industry. There are three big developments that propagated during this year:

• Corn ethanol development stalled due to high corn prices and low ethanol prices. The fallout has been a receding of enthusiasm for ethanol from the financial industry and a second look from the agricultural community (not to mention consumers who don’t like high beef prices).
• Several start-up companies emerged focusing on advanced biofuels like biobutanol or cheap, non-corn ethanol. The kick-off of this initiative was the $387 Million given by the DOE earlier this year to fund several cellulosic ethanol initiatives.
• Real industry movement on electric vehicle systems (Tesla, GM, Ford, Toyota)

2007, however, should be known as a disappointment. We were supposed to have cellulosic ethanol this year. And even now, it’s still a question mark.