· 2 min read
illuminem summarizes for you the essential news of the day. Read the full piece on Financial Post or enjoy below:
🗞️ Driving the news: High-impact oil and gas exploration in deepwater basins could cut global Scope 1 and 2 emissions by 6% by 2030, according to Wood Mackenzie’s latest report
• New fields are cleaner and more efficient than aging ones, with emissions from new projects averaging 17 kgCO₂e/boe compared to 28 kgCO₂e/boe from older fields
• Exploration remains crucial for decarbonization, ensuring a supply of low-carbon, high-value resources without increasing demand
🔭 The context: Global oil and gas resources are vast, yet investments in exploration have declined by two-thirds over the past decade
• Despite this, new discoveries are vital for replacing dirtier, less efficient fields
• Deepwater basins offer the greatest opportunity, as exploration in these areas yields higher recovery rates and lower emissions intensities
🌍 Why it matters for the planet: Modern exploration can reduce the carbon intensity of fossil fuel extraction and refining, contributing to global decarbonization goals
• By displacing higher-emission resources, these advancements help align oil and gas supply with environmental objectives while supporting energy security
⏭️ What's next: Companies are focusing on deepwater opportunities, with major players dedicating 70% of exploration budgets to these areas
• Enhanced technologies and reduced drilling costs may accelerate this trend, but the industry must address public skepticism about exploration’s role in a sustainable future
💬 One quote: “Exploration through the current decade is on track to provide 12% of global oil and gas supply... displacing older supply could cut global Scope 1 and 2 emissions by around 6% in 2030,” - Andrew Latham, VP of Exploration at Wood Mackenzie
📈 One stat: New oil and gas fields in development (2025-2030) have emissions intensities averaging 17 kgCO₂e/boe, compared to 28 kgCO₂e/boe for existing fields
Click for more news covering the latest on corporate sustainability and oil & gas
