A group of the world’s top oil and gas companies pledged on Sept. 24 to slash emissions of a potent greenhouse gas by a fifth by 2025 in an effort to battle climate change.
The Oil and Gas Climate Initiative (OGCI), which U.S. giants Exxon Mobil Corp. and Chevron joined recently, committed to cutting methane emissions to an intensity of 0.25% of the group’s total fossil fuel production, it said in a statement. Such a reduction would equate to 350,000 tonnes of methane annually. It compares with a baseline intensity of 0.32% in 2017, excluding new members.
The pledge, which could be lowered to 0.20% intensity, echoes targets set individually by members BP, Royal Dutch Shell and Exxon to reduce methane emissions.
“Our aim is to work towards near zero methane emissions from the full gas value chain in support of achieving the goals of the Paris Agreement,” the heads of the OGCI members said in a statement, referring to an international agreement aimed at limiting global warming. “We have worked to make our ambition concrete, actionable and measurable, helping to ensure that natural gas can realize its full potential in a low-emissions future.”
The OGCI represents nearly a third of global oil and gas production. It also includes BP, Royal Dutch Shell, France's Total as well as national oil companies of China, Mexico, Brazil and Saudi Arabia.
In a separate announcement, timed to coincide with the start of Climate Week in New York, OGCI announced the creation of a $100 million China-focused climate investment fund with China National Petroleum Corp.
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While the methane footprint of the Appalachian Basin was found to be larger than that of the Permian in absolute terms, the methane intensity of gas production in Appalachia was lower, says data analytics firm Kayrros.