Rystad: Platform electrification could reduce upstream emissions by 86%

Oil and gas companies can cut emissions from production facilities by up to 86 percent by electrifying rigs to run on renewable electricity or natural gas that would otherwise be flared, Rystad Energy said in a new report.

Asset products on the Norwegian Continental Shelf have seen an 86% drop in associated emissions when fully electrified compared to before electrification, according to Norway’s energy research company.

Research by Rystad Energy has shown that electrified assets offshore Norway emit 1.2 kilograms of carbon dioxide per barrel of oil equivalent produced (kg CO2 per boe). This is an 86% decrease from the 8.4 kg of CO2 per boe emitted by the same assets before electrification, the report said.

Norway is an early adopter of electrification, but there are other basins that could benefit from electrification of oil and gas production facilities, Rystad says.

“As the world grapples with the pressing issue of climate change, the oil and gas industry is under increasing pressure to minimize its carbon footprint and align its practices with global sustainability goals” , said Palzor Shenga, vice president of upstream research at Rystad Energy, as carried by Offshore Engineer.

“Where possible and economically viable, electrification has great potential to reduce industry emissions while maintaining production,” Shenga added.

Many companies in the industry, including the largest multinationals and national oil companies (NOCs) have committed to reducing operational emissions, so-called Scope 1 and Scope 2 emissions.

Electrification using onshore renewable energy is one way to do this.

Norway’s Equinor has been working on electrifying some of its production assets on the Norwegian continental shelf.

Last week, the company announced that the Troll B and C fields had become partially fed from shore. This reduces annual emissions from the Norwegian Continental Shelf (NCS) by 250,000 tonnes of CO2.

“The electrification of Troll B and C marks an important milestone in our efforts to halve emissions from our operations by 2030,” said Geir Tungesvik, Executive Vice President of Projects, Drilling and Procurement.

“The project reduces CO2 emissions by the equivalent of 125,000 fossil fuel cars.”

By Charles Kennedy for Oilprice.com

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