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Dozens of the world's largest oil and gas companies are expanding a satellite monitoring campaign to detect methane emissions in emerging economies after 26 major leaks of the planet-warming gas were discovered over Kazakhstan, Egypt and Algeria.
The Oil and Gas Climate Initiative, whose members include Shell, Saudi Aramco and ExxonMobil, told the Financial Times that it plans to expand the year-long monitoring campaign, which ended in August 2023, to include seven or eight new countries. She claimed that the campaign is already working to reduce methane emissions.
As of October 2023, two operators in Kazakhstan and Algeria capped three large methane sources, which were collectively emitting 3,200 kg of methane per hour, or the equivalent of the hourly carbon emissions of about 4,000 gasoline-powered cars.
OGCI is working with four operators to find solutions to remaining emissions sources, according to a report scheduled to be published Monday at CERAWeek, a major energy conference in Houston.
The report did not reveal the identity of any of the operators responsible for the methane leak, saying it was important to build a relationship of trust rather than “name and shame.”
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“We are able to detect the emissions and then use cutting-edge technology to make the gas visible – that's one step. Then we use the unique access we have as companies to be able To deal with local operators even in remote geographical areas.
The campaign by OGCI, a CEO-led organization that represents nearly 30 percent of global oil and gas production, comes amid a growing focus by policymakers on the climate threat posed by methane emissions from oil and gas infrastructure.
The invisible gas is more than 80 times more powerful than carbon dioxide at trapping heat in the atmosphere over a 20-year time period. Experts estimate that methane is responsible for nearly a third of global increases in emissions from global temperatures since the beginning of the industrial era.
Despite pledges by more than 150 countries to combat methane emissions at the United Nations Climate Change Conference (COP28) in Dubai in December, emissions remain near record levels.
A report published by the International Energy Agency last week said that the oil and gas sector was responsible for releasing more than 120 million metric tons of methane into the atmosphere last year, a slight increase from 2022.
The United States – the world's largest producer of oil and gas – was also the largest source of emissions from oil and gas operations, closely followed by Russia, she said.
The OGCI report focuses on the group's engagement with national oil companies and joint venture partners that have extensive fossil fuel infrastructure and the use of satellite monitoring through its partnership with GHGSat, an OGCI-funded company. But it also highlights some of the challenges the industry faces in identifying and fixing methane leaks and reducing emissions in emerging economies.
Only 15 of 26 large and persistent methane sources identified by satellites have been confirmed on Earth by local operators. In some cases the leak may have already stopped or it may not be possible to find the source. According to the report, action still needs to be taken to reduce emissions resulting from leaks identified in many of the cases identified.
The primary sources of methane emissions identified were venting and incomplete combustion of methane from equipment and storage tanks, equipment and pipeline leaks, and incomplete combustion from incineration pits of waste liquids and gases from fossil fuel production.
Satellite detection is an increasingly important tool in detecting methane leaks, especially in emerging countries where the focus is often less on greenhouse gas emissions than in developed economies.
The OGCI initiative is important because it combines satellite detection, peer-to-peer sharing, and technical and financial support to address emissions, said Andrew Baxter, an analyst at the Environmental Defense Fund.
Perhaps as long as methane emissions are reduced, that will be enough. “But I think transparency is a big incentive for people to act,” Baxter said, adding that a new methane sniffing satellite launched by EDF this month will provide full transparency.
Additional reporting by Amanda Chu
