In the short term, developing and extracting oil and gas is vital to ensure energy security until renewable technologies can meet energy demand. We consider the emissions intensity and carbon footprint of future projects in operational and project decisions, and when considering potential acquisitions.
Our acquisition of onshore gas storage assets in the UK enables us to further contribute to the security of energy supply in the UK. The gas caverns and associated infrastructure comprise c.3% of the UK’s total available onshore gas storage capacity and up to 11% of its flexible daily gas capacity. These assets not only enhance our place in the traditional energy space but could be deployed to support energy transition.
In line with international net zero targets, our own goal is to achieve carbon neutrality for Scope 1 and Scope 2 emissions, which are already well below the North Sea average, by 2030. Scope 1 emissions associated with gas production from our operated assets are minimal, thanks to the solar panels and wind turbines that power the unmanned Q10-A platform in the Dutch North Sea1.
As part of our wider emissions reduction ambitions, we will upgrade the Balder floating production unit (FPU) with the more efficient Jotun floating production storage and offloading vessel (FPSO) in Norway by 2030. We don’t flare as part of routine production operations and we have annual inspections to identify and prevent methane leaks, exceeding the four-year inspection requirement.
1 Less than 0.01 kg of CO2 per barrel of oil equivalent produced (kg CO2/boe).
Q10-A Platform
The Q10-A platform is unmanned and is powered using renewable energy generated by solar panels and wind turbines. Compared to using diesel generators, Kistos estimates this saved approximately 21 tonnes of CO2 emissions per year. Similarly, we estimate that our policy of conducting offshore visits via boat rather than helicopter saved more than 15 tonnes of CO2 emissions in 2023.
