Chrysaor recognises and supports government emission targets and the Paris Agreement to keep the increase in global temperatures below 2 degrees Celsius.
We will continue our path to a sustainable future by pursuing new and innovative approaches to reducing our carbon footprint.
Our Commitment is reflected in our investment in the Acorn CCS project, which is essential for meeting Scottish and UK government net zero targets.
Our path to a sustainable future
Oil has been the world's most important source of energy since the 1950s. Its products underpin today's society supplying energy to power industry, heat homes, make plastics and provide fuel for vehicles to carry goods and people all over the world. Much of the global economy continues to rely on oil and gas as a primary energy source. In the UK, oil and gas currently accounts for 75 percent* of total energy needs. Achieving net-zero carbon emissions will require transformational change from all governments, industries, businesses and individuals.
By 2040, a growing population will need a third more energy than today. In the transition to a low-carbon economy, oil and gas will still play a major role in the energy mix. Chrysaor recognises and supports government emission targets and the Paris agreement to keep the increase in global temperatures below 2 degrees Celsius. Across our assets, we are exploring low-carbon energy sources to power our assets, including renewable energy and power from onshore, focusing on inter-connecting assets in readiness for a viable connection to low-carbon electricity.
Reducing our carbon emissions
The UK emits 36.4 million tonnes of CO2 a year, with Chrysaor's own operations emitting just under one million tonnes. 90 percent of the carbon dioxide emitted from our operated assets is from gas turbines, used to power our offshore facilities, with a further 10 percent attributed to the flare. Our energy transition initiatives have already seen a reduction in emissions of nearly two percent over the last two years, but we are aiming for a 30 percent reduction in carbon emissions from our operated assets by 2025 with a further 20 percent by 2028.
What we are doing
We are approaching this challenge in three ways. We must produce our hydrocarbons in the most environmentally sustainable and efficient way we can. We must invest in low or zero carbon energy supplies to power our assets. We are investing in hydrogen production together with removing and offsetting emissions through carbon capture and storage (CCS). We are also looking at feasibility options to reduce our flaring levels and to measure our methane gas emissions using drones, with the goal of identifying and removing any fugitive emissions.
Our commitment to the energy transition is reflected in our investment in the Acorn CCS project. This North Sea-based solution is essential for meeting Scottish and UK government net-zero targets. Working with partners in the industry and with government, the first phase of Acorn is targeting storage of 340,000 tonnes of carbon a year from the St Fergus gas terminal. A second phase, with the production of 'blue' hydrogen, could see the capture and storage of much larger volumes;
Working together to achieve results
At Chrysaor, we will continue our path to a sustainable future by pursuing new and innovative approaches to reducing our carbon footprint, and by working with partners across the industry and in other sectors to help drive the energy transition forward. Our journey has begun ...
*Source: Provisional UK Greenhouse Gas Emissions National Statistics (March 2019)