Page 6 - AsianOil Week 46 2021

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IGU calls for more support

for renewable gases

POLICY GOVERNMENT policies to promote the use of
so-called green gases such as biogas and hydro-
gen are falling far short of the support needed to
realise their potential in decarbonising the gas
grid, the International Gas Union (IGU) warned
in a report published on November 10.
The IGU, which represents dozens of
gas companies across the world, estimates
that enough sustainable biogas could be Though policymakers have far more inter-
produced to replace about 20% of current est in hydrogen than bio-methane, the latter is
natural gas demand globally. But the cur- already produced in far greater quantities and so
rent production of biogas and bio-methane it needs to be recognised as a key tool for deliv-
equates to just 1% of total global gas output, ering on emission goals in the nearer term, the
with more than half of that concentrated in IGU said.
Europe, with another 25% located in China. “Given the scale of the decarbonisation
The current pipeline of projects will pro- challenge, and the need for as many worka-
duce 20 times less than this. ble solutions as possible to ease the pains of a
And while many countries see hydrogen global energy transition, all forms of renewable
development as essential for realising their car- gas should be pursued as quickly as possible,”
bon goals, the increase in low-carbon hydrogen the union continued. “This will require strong
production has been limited in the past five and clear policy support from governments
years, the IGU said. Today, low-carbon hydro- globally, robust entrepreneurial initiative from
gen output accounts for just 0.03% of worldwide the incumbent industry players and disruptors
natural gas output. alike.”
“The current level of planned and installed Access to capital will be essential for hydro-
production capacity for renewable and low-car- gen and biogas projects being realised, the IGU
bon gases appears negligible compared to the stressed.
stated plans, and that must be changed,” IGU Kang said there was a problem with a lack of
president Joe Kang commented. “This report is a transparency regarding the volume and pricing
call to action on all fronts – policy, industry, and of renewable gases. He added that “developing
the financial community. We all need to play our effective growth strategies requires an under-
part if there really will be a practicable gaseous standing of the baseline, and that is what we aim
energy revolution.” to establish with this series.”™

SOUTH ASIA

Cairn India secures new

upstream partnerships

PROJECTS & INDIAN independent Cairn Oil & Gas has The three contracts were confirmed on the
COMPANIES signed services contracts with both Halliburton sidelines of the ADIPEC 2021 industry event in
and Baker Hughes as it strives to boost its pro- Abu Dhabi.
duction and reserves. Under the shale agreement, Cairn and Hal-
Cairn said on November 16 that it had teamed liburton will begin exploring for shale reserves
up with Halliburton not only to begin exploring in the Lower Barmer Hill (LBH) formation in
Rajasthan State’s shale oil and gas potential but western Rajasthan. Cairn estimates that the Bar-
also to boost the company’s offshore recoverable mer Basin has a shale potential of 3bn barrels of
reserves. Cairn’s agreement with Baker Hughes, oil equivalent, with the developer adding that
meanwhile, will focus on delivering a more it aims to confirm 300mn boe of reserves. The
than fivefold increase in conventional onshore work programme involves developing pilot drills
reserves. to explore the Barmer Basin’s shale potential.

P6 www. NEWSBASE .com Week 46 19•November•2021