Page 14 - EurOil Week 42 2021

EurOil POLIICY EurOil

UK upstream must keep “laser

focus” on emissions: OGA

UK THE UK oil and gas industry has made strides The UK oil and gas industry has pledged to
in reducing upstream greenhouse gas emissions bring down its emissions as part of a North Sea
Emissions fell 11% (GHG) but must retain “a laser focus’” on this Transition Deal with the government, which
between 2018 and issue to deliver further cuts, the Oil and Gas was reached in March this year. The industry
2020. Authority (OGA) said on October 14. has committed to delivering a 10% cut in GHG
In its first Emissions Monitoring Report, the emissions from offshore oil and gas production
oil and gas regulator estimated that total GHG by 2025, a 25% cut by 2027 and a 50% cut by
emissions from the UK upstream sector fell by 2050. These reductions use the level in 2018 as
11% between 2018 and 2020, underpinned by a baseline.
“proactive abatement initiatives ... a decrease in While it seems like the industry is on track
offshore activity, and the permanent shutdown to reach those targets, OGA indicated that going
of several high emitters.” beyond the 2050 goal of halving emissions would
OGA estimated emissions were reduced at be a considerable challenge. It said the sector
two thirds of offshore oil and gas installations in needed to adopt a wide-ranging approach to
2020. Those that achieved reductions did so by deliver on its goals, using platform electrifica-
an average of 36%, it said. tion, reductions in flaring and venting, integra-
This is “good progress,” the regulator said, but tion with hydrogen , carbon capture and storage
cautioned that the numbers should be taken into and the retrofit of platforms with more ener-
the context of what was an extraordinary year for gy-efficient equipment.
the industry in 2020. “Our report makes clear that, despite positive
“2020 was an unusual year for offshore oper- early signs, a laser focus on further emissions
ations as companies grappled with the twin reductions is required,” OGA CEO Andy Sam-
challenge of the COVID-19 pandemic and lower uel commented. “Falling short isn’t an option
commodity prices, so continued decreases will if the sector wants to retain its social licence to
require every effort,” OGA said. operate.” ™

ENERGY TRANSITION

Ineos to spend $2.3bn on green hydrogen

UK UK petrochemicals firm Ineos has unveiled a power-to-methanol applications on an indus-
€2bn ($2.3bn) plan for mass green hydrogen trial scale.”
Caption Caption production in Europe. The company said it was also developing pro-
Caption Caption The company said on October 18 it aimed to jects in Belgium, France and the UK, and antic-
Caption Caption build green hydrogen-producing electrolysers ipated announcing partnerships with “leading
Caption Caption in Norway, Germany and Belgium over the next organisations involved in the development of
years, with additional projects planned for the new hydrogen applications.”
UK and France. Ineos did not disclose how the €2bn would be
“Europe is crying out for more investment in allocated to different projects, nor a timeframe
green hydrogen and Ineos’ announcement today for their development.
shows our determination to play a leading role The company unveils its hydrogen investment
in this important new fuel,” Ineos Chairman Jim plan comes a year after it launched a new green
Ratcliffe commented. hydrogen business in the UK, where it operates
Ineos’ hydrogen drive will start in Norway, the Grangemouth oil refining and petrochem-
where the company plans to erect a 20-MW icals complex in Scotland. Through its subsidi-
electrolyser at its Rafnes chemicals complex. The ary Inovyn, Ineos claims it is already the biggest
plant will reduce CO2 emissions at the complex operator of electrolysers in Europe, and the new
by 22,000 tonnes per year while also establish- business will not only build green hydrogen units
ing it as a hydrogen hub for Norway’s transport at its own sites but also partner sites.
sector. At Grangemouth, Ineos is considering the
At its complex in Cologne, Germany, Ineos construction of a 150,000-tpy blue hydrogen
wants to install a 100-MW electrolyser, bring- plant as part of a £1bn ($1.4bn) programme to
ing CO2 emissions down by 120,000 tonnes reduce the complex’s emissions to net zero by
per year. The hydrogen from this unit will be 2045. Blue hydrogen is created from natural gas,
used to produce green ammonia, and there is with CO2 emissions from the process captured
also an opportunity “to develop e-fuels through and safely stored ™

P14 www. NEWSBASE .com Week 42 21•October•2021