ExxonMobil has joined a host of conventional energy companies announcing their aims to reduce greenhouse gas emissions and achieve net zero emissions for operated assets within the next three decades.
The ambition outlined in its Advancing Climate Solutions - 2022 Progress Report, applies to its Scope 1 and Scope 2 greenhouse gas emissions and builds on the firm’s 2030 emission-reduction plans. The 2030 targets include net-zero emissions for Permian Basin operations and an ongoing investment in low-emission solutions, including carbon capture and storage, hydrogen and biofuels.
The report outlines how its short- and medium-term business plans can be adjusted to developments in policy and technology and how the firm plans to use signposts and indicators to evaluate the need for changes in the future. The report outlines over 150 potential steps, which can be applied to its assets.
Initial actions include energy efficiency measures, equipment upgrades, methane mitigation, elimination of venting and routine flaring, power and steam co-generation and the electrification of operations with the use of low-emission power and renewables.
Additionally, the firm intends to finalize the path towards addressing approximately 90% of its operations-related GHG emissions by the end of 2022 and 100% by the end of 2023.
The initial steps to achieving the 2050 goals are included in the plans for 2027, which require an investment of more than $15 billion to launching low-emissions initiatives.
As per the emission-reduction plans for 2030, the firm is expected to reduce absolute GHG emissions by approximately 30% for its upstream (energy exploration and production) business and 20% for the entire firm. Absolute flaring and methane emissions are expected to reduce by 60% and 70%, respectively by 2030.
Earlier this month, ExxonMobil announced it was acquiring a larger stake in Norwegian biofuels company Biojet AS. ExxonMobil also detailed a large oil discovery off the coast of Guyana.
Oil prices are rising to nearly decade highs. Thursday's market price for benchmark London Brent exceed $88 per barrel, the highest in seven years.
