In this report we share insights from our work estimating granular greenhouse gas (GHG) emissions from upstream oil & gas operations.

• S&P Global Commodity Insights has developed a unique and comprehensive approach to international upstream GHG emissions. We are now capable of estimating the totality of an upstream oil and gas play's emissions and emissions intensity-from across the play, down to individual assets and the sources of emissions that underpin each operation.
• Our examination of the entire North Sea identified the average GHG intensity of production in 2021, as well as the existence of considerable variation. Included in the study were 265 individual fields and projects, consolidated into 84 key hubs or standalone projects. The GHG intensity across the study area ranged from under 1 kgCO2e/boe to nearly 150 kgCO2e/boe. Nearly two thirds of production were found to be beneath the basin-wide average.
• Productivity and electrification are key sources of emission intensity differentiation in the North Sea. UK production was found to be, on average ~2.5 times, more GHG intensive than Norway. Younger, or less mature and more productive assets, principally located in Norwegian offshore were, on average, lower intensity, compared to the UK. The GHG intensity of Norwegian production also benefited from electrification projects which tied offshore facilities back to Norway's hydro-dominated power grid.

Authors:

Chris Kennett
Associate Director, International Emissions, S&P Global Commodity Insights

Kevin Birn
Vice President, Centre of Emissions Excellence, S&P Global Commodity Insights

Hugh Ewan
Senior Technical Research Analyst II, S&P Global Commodity Insights