NorthAmOil: ExxonMobil unveils net-zero target for Permian Basin

Super-major ExxonMobil has announced that it will target net-zero greenhouse gas (GHG) emissions from its operated assets in the US’ Permian Basin by 2030.
The announcement comes days after the company unveiled tougher emissions targets as part of an update on its medium-term corporate plans. Unlike European super-majors, it is not pursuing a long-term net-zero emissions target across its entire business but it is now targeting a 40-50% reduction in upstream emissions intensity by 2030, compared with 2016 levels.
The new Permian target forms part of this push to cut upstream emissions intensity, and is also being touted by ExxonMobil as an acceleration and expansion of its emissions-cutting efforts.
The Permian push will be supported by the electrification of operations, continuing investments in methane mitigation and detection technology, the elimination of routine flaring and upgrades to equipment, ExxonMobil said. The company added that employing emissions offset technology, potentially including nature-based solutions, would also contribute to its elimination of Permian Basin emissions.
ExxonMobil noted that it was planning to electrify its operations with low-carbon power, produced from renewables or using carbon capture and storage (CCS). It is aiming to have routine flaring in the Permian eliminated by the end of 2022, and anticipates cutting flaring volumes across its operations in the basin by more than 75% compared with 2019 by the end of this year.
The Permian Basin is one of ExxonMobil’s key focus areas after the region demonstrated its relative resilience to oil price downturns. The super-major is also under mounting pressure, including from newly elected members of its board backed by activist hedge fund Engine No. 1, to do more to decarbonise its operations.