Page 5 - AsianOil Week 24 2021

AsianOil ASIA-PACIFIC AsianOil

This comes as Cheniere – the US’ largest performance and identify opportunities to
producer of LNG – works towards providing its reduce emissions, Cheniere said.
customers with GHG emissions data associated
with each of its cargoes, from wellhead to cargo What next
delivery point, from 2022. This initiative comes Cheniere’s announcement comes amid a broader
with a particular set of challenges, as Cheniere push by North American LNG producers to bol-
sources its feed gas from a wide variety of regions ster their environmental credentials.
and producers. In late May, Venture Global LNG, which is
In this, the US’ LNG industry differs from building one LNG export terminal in Louisiana
that of certain other countries, where a single and has others in the pipeline, unveiled plans
company or consortium may develop a field to develop a carbon capture and storage (CCS)
solely to support an LNG project that it also facility to capture emissions from its most
operates. Now Cheniere is taking steps to over- advanced two projects. Others, such as Next-
come the challenge involved in quantifying Decade, are proposing the building of a CCS
emissions from the multiple parties involved in facility alongside a planned US Gulf Coast LNG
its supply chain. project, but Venture Global would be the first US
“Collaboration with our natural gas suppli- LNG producer to develop a CCS project for an
ers is a key component of Cheniere’s focus on existing facility, if all goes as planned.
quantifying and improving environmental per- Something similar is playing out in Canada,
formance,” stated Cheniere’s president and CEO, where Pieridae Energy unveiled its plans for the
Jack Fusco. Caroline Carbon Capture Power Complex in
The producers participating in the newly late May. The complex will consist of both CCS
announced collaboration are Aethon Energy, capacity and clean power production, and will be
Ascent Resources – Utica, EQT, Indigo Natu- used to offset the emissions set to be generated
ral Resources and Pioneer Natural Resources. from Pieridae’s proposed Goldboro LNG facility
The initiative is supported by researchers from in Nova Scotia.
the Payne Institute for Public Policy at the Col- Pieridae is now searching for partners for this
orado School of Mines, Harrisburg University project.
of Science and Technology, SLR International These moves, and others elsewhere in the
and other emissions monitoring technology world, illustrate the growing momentum behind
providers, including Montrose Environmental, the push to decarbonise LNG. But the play-
SeekOps, Bridger Photonics and GHGSat. ers involved typically do not discuss the costs
The collaboration is aimed at improving involved, though these costs are anticipated to
the overall understanding of upstream GHG be considerably higher than those involved in
emissions and furthering the deployment of producing and trading LNG without a decar-
advanced monitoring technologies and pro- bonisation component.
tocols, Cheniere said. It will involve multiple A better understanding of the costs involved
ground-based, drone, aerial and satellite mon- will emerge over time, but this is one of the main
itoring technologies to establish baseline emis- concerns about how effective decarbonisation
sions levels. efforts in the LNG industry can be. Developing
The initial effort will cover gas production countries will struggle to pay more for the super-
wells in the Haynesville, Marcellus, Permian chilled fuel, and a clear split could ultimately
and Utica shale regions that collectively produce emerge among LNG buyers – those that import
around 360mn cubic feet (10.2mn cubic metres) decarbonised LNG and those that do not. In the
per day of gas, as well as multiple tank batteries. shorter term at least, those that opt for decarbon-
The partners will also aim to verify emissions ised LNG will be in the minority.™

Week 24 17•June•2021 www. NEWSBASE .com P5