In a bid to meet its targets of reducing greenhouse gas emissions, oil major Exxon Mobil Corp has bought a 49.9% stake in Norwegian biofuels company Biojet AS, the company has announced.

Big oil companies such as Exxon have been under lot of pressure from investors and governments to fight climate change, worsened by carbon emissions from fossil fuels. In March, a hedge fund forced Exxon to add new board members who could help it confront the issue better.

Through the deal, Exxon expects to purchase as much as 3 million barrels of Biojet's biofuels per year. Biofuels can be used in passenger vehicles and heavy trucks.

Meanwhile, Biojet plans to develop up to five facilities to produce biofuels from forestry and wood-based construction waste, and expects commercial production to begin in 2025 at a manufacturing plant to be built in Follum, Norway.

Exxon aims to achieve net zero greenhouse gas (GHG) emissions from working assets in the US Permian basin by 2030.