O&G Net Zero

Oil and gas operators must dramatically cut methane emissions in the next decade to help the world meets global climate goals. According to the International Energy Agency (IEA), methane emissions from fossil fuel operations need to fall by about 75% by 2030 to achieve to Net Zero by 2050. Methane is considered a more potent greenhouse gas than C02, but it also breaks down more quickly, therefore, curbs to methane emissions will have a faster impact on the effects of climate change. Both European and American regulators are taking methane emissions more seriously with over 100 countries signing onto a pledge to cut emissions of methane by 30% by 2030 compared to 2020 levels. Here’s what some of the major European and American oil companies are doing about it. TotalEnergies TotalEnergies claims that it has one of the best records in the industry on reducing methane emissions. It commits to almost eliminating methane emissions at its operated gas facilities targeting methane emissions to be less than 0.1% of commercial gas produced. This exceeds the targets of 0.2% methane intensity that members of the Oil and Gas Climate Initiative (OGCI) have pledged to achieve. Since 2021, it has cut its emissions nearly in half by reducing methane from sources such as flaring, venting and leaks. TotalEnergies is using state of the art technology to detect leaks quickly. The company uses satellite imaging technology, for instance, produced by a company called GHGSat to monitor potential methane leaks at offshore facilities. The technology uses data from “sun glint” on the ocean surface to detect possible leaks. It also has developed a drone mounted spectrometer that can be flown near facilities to check for fugitive emissions. Identified leaks may then be quickly fixed. BP BP aims to achieve a methane intensity of 0.2%, by 2025. In order to achieve this, it is focusing on operational improvements. These include capturing gas that would otherwise be flared or vented, upgrading equipment such as high bleed pneumatic controllers, plant design changes that would reduce the potential for methane leaks, and trialing pumps powered by solar energy. By 2023 the company aims to have methane measurement equipment at all its major oil and gas processing sites. It is also investing in technologies such as cameras that can continuously monitor for emissions and drones and truck-mounted laser sensors and infrared cameras. These will help to quickly identify any fugitive methane emissions from its operations. Shell Shell has committed to keeping its methane emissions intensity in its global operations below 0.2% by 2025. By 2030 it aims to halve absolute emissions from operations, compared to a 2016 baseline. To achieve these goals, the company says it will eliminate routine gas flaring from its Upstream operated assets by 2025 and will rely on infrared cameras to detect methane leaks. Chevron Chevron is a member of the Oil and Gas Climate Initiative (OGCI), which has a target to reduce average upstream methane intensity to 0.20%. Chevron has set itself a 2028 methane target of 2 kilograms CO?-equivalent per barrel, which is a 50% reduction from their 2016 baseline. In order to achieve these aims, the company is using airborne sensors (in satellites, aircraft, and drones) to detect methane over its operations. It also aims to reduce routine flaring by 60% and has endorsed the World Bank’s Zero Routine Flaring Initiative, which calls for an end to routine flaring by no later than 2030. ConocoPhillips ConocoPhillips aims to reduce methane emissions intensity by 10% by 2025. It has already reduced methane intensity by approximately 65% since 2015. In order to achieve these aims it is adding continuous methane monitoring devices to its operations; two thirds of the Lower 48 production were expected to be monitored for emissions by the end of last year (2021). It has also incorporated standard operating procedures to detect and repairs leaks with inspections routinely performed by operators. Eni Eni aims to achieve an Upstream methane intensity of 0.25% by 2025. It has reduced methane emissions by 90% since 2014. It plans to eliminate all routine flaring by 2025 and has continued to implement a LDAR (Leak Detection and Repair) on 60 assets in order to identify and repair fugitive methane emissions. ExxonMobil Exxon says it has achieved a 15 percent reduction in methane emissions versus 2016 levels and aims to further reduce the “methane intensity” of operations by 40-50 percent by 2025 to stay in line with the goals of the Paris agreement. Exxon has been working with its partners and other industry and academic bodies to find new, more efficient ways of identifying and measuring methane emissions. The company is also implementing an enhanced LDAR program across its production and midstream sites and plans to phase out high-bleed pneumatic devices.