More electrification of offshore upstream facilities could have major impact on emissions, Rystad claims

Fully electrified rigs and other facilities operating across the Norwegian Continental Shelf are emitting 1.2 kg of CO₂ per boe produced, according to Rystad Energy.

This is 86% lower than the 8.4 kg of CO₂/boe emitted by the same assets prior to undergoing electrification.

Norway can deploy its resources of hydroelectric power in particular to help cut emissions from its upstream production. The country now plans to cut emissions from operations on the shelf by 70% by 2040.

Other producing countries have greater issues converting their offshore facilities for the same purpose, notably much larger distances from the mainland, insufficient power grid infrastructure and a limited renewable power capacity.

But even a partial electrification could bring substantial emissions reductions, Rystad claims.

It has identified worldwide 30 "premium energy basins" with large hydrocarbon reserves and the potential to incorporate environmentally friendly practice. These basins collectively could account for more than 80% of the world’s oil and gas this year and will continue to do so through 2050.

If the offshore facilities in the basins were to undergo electrification, a total of 5.5 gigatonnes of CO₂ would be avoided by 2050.

Flaring has a big impact on global emissions due mainly to a lack of economic incentives, regulatory frameworks and technical capabilities to develop gas markets and infrastructure.

Rystad calculates that about 140 Bcm/year of gas has been flared worldwide over the past 10 years.

Much of the volumes have come from the activities of major producers in North America, the Middle East and Africa. Flaring avoidance could be an effective option for reducing upstream emissions for both electrified assets and those with limited electrification potential.