Australia’s Santos joins OGCI zero methane initiative

Spanish Market: Emissions, Natural gas
21/02/24

Australian independent Santos has signed the Aiming for Zero Methane Emissions initiative, which seeks "near-zero" methane emissions by 2030 from signatories' operated oil and gas assets.

The project, which now has 23 signatories, was launched in March 2022 by the Oil and Gas Climate Initiative (OGCI) — a group of 12 major oil and gas companies.

Santos has operations in Australia, Papua New Guinea, Timor-Leste and the US. The company produced 92.2mn bl of oil equivalent in 2023 and has set a target of net zero emissions across scopes 1 and 2 by 2040 for its equity share.

The company is also looking to develop three carbon capture and storage (CCS) hubs offshore Australia, which could have a total future storage capacity of up to 35mn t/yr of CO2 — though Santos did not provide a timeframe. Its Moomba CCS project is 80pc complete and the first CO2 injection is expected in the middle of this year.

Santos today also formally endorsed a World Bank initiative to eliminate routing flaring from oil operations by 2030. Santos will "will develop and implement plans to achieve its commitment under this initiative", it said. It will also report "flaring and improvement progress" to the World Bank on an annual basis, from 2025.

The recent UN Cop 28 climate summit, in November-December 2023, placed scrutiny on oil and gas producers' emissions reduction plans. Companies representing over 40pc of global oil production pledged to cut emissions — including methane to "near zero" by 2030. The summit saw renewed focus on methane emissions, although the frameworks are voluntary.

By Georgia Gratton

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22/01/25

EU must be 'honest' about Green Deal: Poland

Brussels, 22 January (Argus) — The EU must undertake a "full and very critical" review of the bloc's Green Deal, Polish prime minister Donald Tusk told the European Parliament. Tusk outlined Warsaw's view on climate and energy policies during the country's recently-started six-month presidency of the EU's council of ministers. "If we go bankrupt no-one will care about the world's environment any more," Tusk said, calling for an honest, full and "very critical review of all regulations, including those arising from the Green Deal". Launched in 2019 under the previous European Commission term, also led by president Ursula von der Leyen, the Green Deal was adopted in 2023 and notably included revisions of the emissions trading system (ETS) to support a steeper 55pc reduction in the bloc's greenhouse gas (GHG) emissions by 2030. Tusk wants any review to identify and change EU laws that may lead to higher energy prices. "There is, for example, the issue of ETS 2 in front of us," he said, singling out the separate trading system covering emissions from road transport and heating fuels, which is scheduled to launch in 2027. "I would also ask you to reflect deeply, critically and bravely on the consequences of introducing ETS 2 at such a rapid pace," he told parliament. Poland holds the EU council presidency until the end of June. Any legal changes to the ETS would require a majority within parliament and a qualified majority of the 27 EU member states. But several, including France, Germany, Sweden and Austria, have been outwardly reluctant to tweak climate legislation and delay the introduction of the ETS 2. "Our union will only survive if we continue to implement the Green Deal, the sole instrument capable of ensuring the survival of our planet," warned Spanish MEP Iratxe Garcia, leader of parliament's second largest group, the centre-left S&D. By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Trump puts US climate risk disclosures on the outs

21/01/25

Trump puts US climate risk disclosures on the outs

Houston, 21 January (Argus) — US President Donald Trump revoked an executive order by his predecessor on Monday that required federal agencies to take steps to assess climate-related risks to the country's economy. The order revocation comes as part of a flurry of repeals and executive orders from Trump in his first days in office. The move, along with withdrawing the US from the Paris Climate Agreement, is in line with Trump's plans to distance his administration from former president Joe Biden's environmental goals, following campaign promises to focus on a deregulatory agenda and increase US oil production. "Climate extremism has exploded inflation and overburdened businesses with regulation," the executive order said. Biden issued his executive order in 2021 directing the federal government to take steps to assess climate risk impacts on the financial system, homeowners and businesses and then help inform the government and investors of those risks. It also required the identification of public and private financing needs to meet the Biden administration's net-zero emissions target for the US economy by 2050. But some of Biden's plans were already on their way out in the final days of his administration, while others are likely to be revisited by the government under Trump. The US Department of Defense (DOD), National Aeronautics and Space Administration (NASA), General Services Administration (GSA) on 13 January withdrew their proposed rule to amend the Federal Acquisition Regulation, which would have required major federal suppliers to publicly disclose GHG emissions and climate-related financial risk along with setting science-based GHG reduction targets in line with the executive order. The agencies cited a lack of time to finalize the rule, first proposed in 2022, before the end of the Biden administration. The lack of Trump support for federal climate-change disclosures is likely to slow progress on creating a national framework for measuring the impact of climate-change on US financial systems, investments, and housing among other sectors. The impact is likely to leave federal agencies unprepared to handle the aftermath, according to non-profit group Ceres. "Without comprehensive data and planning frameworks in place, federal agencies will be ill-equipped to protect taxpayer investments, ensure continuity of critical services, and build resilience against growing climate-related threats," said Steven Rothstein, managing director of the Ceres Accelerator for Sustainable Capital Markets. With the departure of US Securities and Exchange Commission's (SEC) chairman Gary Gensler on Monday, Trump's Republican replacement, acting chairman Mark Uyeda, will likely revisit the SEC's related disclosure requirements . Under a rule finalized last year, companies publicly listed in the US must begin disclosure of climate-related information by March 2026. But state-level action will continue even if the federal government unravels the previous administration's disclosure requirements. California has already mandated these disclosures. SB 261, signed by governor Gavin Newsom (D) in 2023 , requires companies operating in the state with revenues of $500mn/yr or more to biennially report, starting in 2026, the immediate and long-term climate-related financial risks within their operations and supply chain. The California Air Resources Board is taking public feedback to develop the regulations through July, with disclosures beginning in 2026. New York is also considering similar requirements. By Denise Cathey Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Texas, Louisiana ports closed by winter storm: Update

21/01/25

Texas, Louisiana ports closed by winter storm: Update

Updates status of operations at Port Houston facilities. Houston, 21 January (Argus) — Ports in Texas and Louisiana remained closed to shipping traffic Tuesday afternoon due to a winter storm, a shipping agent said. Marine pilots suspended boardings at the Texas ports of Houston, Galveston, Texas City and Freeport late on 20 January. Traffic also was halted at the Sabine-Neches Waterway on the Texas-Louisiana border, which offers access to terminals and refineries in Port Arthur and Beaumont, Texas, as well as Cheniere's Sabine Pass liquefied natural gas terminal. Pilots also halted traffic at the Louisiana port of Lake Charles late on 20 January. Port Houston facilities, which include eight public terminals on the Houston Ship Channel, will remain closed through Wednesday, according to statement from port officials. Vessel operations may resume at container terminals on Wednesday evening, the statement said. By Tray Swanson Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Brazil taps diplomat as Cop 30 president: Update

21/01/25

Brazil taps diplomat as Cop 30 president: Update

Adds comments on US leaving Paris climate agreement. Sao Paulo, 21 January (Argus) — Brazil chose veteran diplomat Andre Aranha Correa do Lago to preside over the UN Cop 30 climate summit, it said. Correa do Lago's appointment breaks the mold of the latest Cop presidents. The last two Cop presidents — Mukhtar Babayev and Sultan Ahmed Al Jaber, who presided over Cop 29 and 28, respectively — were experienced oil executives, while Correa do Lago has mostly been a diplomat and an advocate of sustainable development. Correa do Lago has served as the Brazilian foreign affairs ministry's climate, energy and environment secretary since March 2023 and began his career as a diplomat in 1982. He previously served in the embassies in Madrid, Prague, Washington and Buenos Aires and in a mission to the EU in Brussels. Later, Correa do Lago was ambassador to Japan (2013-2018), India (2018-2023) and Bhutan (2019-2023). He has been working on sustainable development topics since 2001, according to the Brazilian government. He was director of the energy division of the foreign affairs' ministry from 2008-2011 and headed the ministry's environmental division from 2011-2013. He also served as Brazil's chief negotiator for climate change from 2011-2013 and presided over the 2012 UN Conference on Sustainable Development in Rio de Janeiro, also known as Rio+20. Brazil also tapped economist Ana Toni, the energy ministry's secretary for climate change since March 2023, as Cop 30's executive director. She holds a PhD in political science and focused her career on promoting projects and public policies regarding social justice, the environment and climate change. Toni was executive director of the climate and society institute from 2015-2022, president of Greenpeace's board from 2010-2017 and the director of the Ford Foundation in Brazil from 2003-2011. Brazil will host Cop 30 in Belem, the capital of northern Para state, in November. The city was chosen because of its proximity to the Amazon rainforest. Trump factor After the Cop 30 announcement, Correa do Lago spoke about US president Donald Trump's decision to pull the US from the Paris Climate agreement. "We are all still analyzing president Trump's decisions, but there is no doubt that it will have a significant impact on the preparations for Cop 30," he said, adding that the summit will have to deal with "such an important country" withdrawing from the agreement. But the US remains a member of the climate convention, so "several channels remain open," he said. Correa do Lago also said that he does not know whether there will be talks related to Trump's attendance at Cop 30. By Lucas Parolin Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Brazil pushes climate leadership in Davos

21/01/25

Brazil pushes climate leadership in Davos

Sao Paulo, 21 January (Argus) — Brazil is looking to build an "ecological legacy" and called on richer countries to invest in its growing sustainable markets as it prepares to host the UN Cop 30 climate summit later this year, government representatives said at the World Economic Forum (WEF) in Davos. "The last two Cop editions were held in countries where most of their economy relies on oil exploration," northern Para state governor Helder Barbalho said at WEF today. "For the first time this year, we will have the international community debating climate change and economy while standing in the largest rainforest in the world." Brazil will host Cop 30 in November in Para's capital Belem, at the mouth of the Amazon rainforest. It tapped veteran diplomat Andre Aranha Correa do Lago , an advocate of sustainable development, to preside over the summit. Also speaking at WEF, Brazil's supreme court president Luis Roberto Barroso focused on government efforts to prevent environmental crimes and regulate new sustainable market. Throughout President Luiz Inacio Lula da Silva's third administration — which began in 2023 — Brazil approved its carbon credit trade market as well as offshore wind generation and biofuels regulation . Barroso said that the Brazilian judiciary branch, along with the legislative and executive power, established ecological and landownership matters as major priorities. Para's governor touted its major achievements from 2019-2024. The state is Brazil's former largest largest greenhouse gases (GHG) producer, but has reduced its emissions. "People used to think that, in order to increase income, we should destroy our forests and open space for other activities," Barbalho said. "Today, we know how to take advantage of our forests to create sustainable jobs, new ways of income and to diversify our economy while preserving current flora and fauna." Although Para increased its cattle raising by 3mn from 2021-2024, it cut deforestation in Amazonian lands by 42pc because of sustainable practices and financial incentives for farmers to preserve native vegetation, Barbalho added. The state is also focusing on the carbon credit market, the governor said. Recently, Para sold carbon credits equivalent to over 12mn metric tonnes of CO2 , raising $1bn to be used in continuous emission-reducing practices thanks to state-issued policies. New growth Still, Brazil cannot meet its previous Cop pledges with only its current forests and without reforestation. Almost 50pc of Brazil's GHG emissions came from land-use and forestry as of January 2024 . In November, Para created Brazil's first forest restoration concession, which will allow companies to participate in an open call to reforest and restore the damaged area of the Triunfo do Xangu environmental reserve. Once the restoration is done, the company will generate revenue through carbon credits from the recovered area. Brazil — which saw increased deforestation during president Jair Bolsonaro's administration in 2019-2022 — has been targeting reforestation as part of its efforts to meet its emissions-reduction target. Brazil's mines and energy minister Alexandre Silveira is also in Davos and seeking to attract investment in renewable energy-fueled data centers in Brazil, the ministry told Argus . The data center plan is under development and will be concluded by the end of the first half. Data centers consume up to 2pc of all power generated in the world and are responsible for 0.3pc of all CO2 emissions, according to the US International Energy Agency. But Barroso ended the panel saying that "climate change deniers made a triumphant return." On Monday, US president Donald Trump pulled the US out of the Paris Climate agreement . "I'm immediately withdrawing from the unfair, one-sided Paris climate accord rip-off," Trump said at a rally later in the day. "The US will not sabotage their own industries while China pollutes with impunity." Trump is scheduled to speak at Davos on 23 January. Throughout his campaign, Trump repeated the slogan "drill, baby, drill" as part of his support for fossil fuel production in the US. By Maria Frazatto Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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